RBI okays Puri’s term as HDFC Bank chief till 2020

The HDFC Bank on Monday said the Reserve Bank of India has approved reappointment of Aditya Puri as MD & CEO of the bank, from November 1, 2018 to October 26, 2020, up to the age 70 years.

In 2015, the shareholders of the bank had approved his appointment for a period of five years subject to RBI approval, the bank said in a statement.

HDFC Bank has, meanwhile, raised its stake in the National Securities Depository (NSDL) from 5 per cent to 9.95 per cent by buying a 4.95 per cent stake from Axis Bank. The transaction at Rs 825 per share for 19,79,900 shares of NSDL, for a cash consideration of Rs 163.34 crore, was disclosed by Axis Bank on Friday after the market hours.

NSDL primarily provides depository services. Its counterpart, Central Depository Services (CDSL), is listed on BSE and NSE.

“The transaction would lead to divestment of 4.95 per cent stake in NSDL. Post transaction, Axis Bank will hold 0.05 per cent stake in NSDL,” Axis Bank said.

The transaction will be completed by December 2018.

Since NSDL is a depository where share holding of more than 5 per cent is not permitted by a single entity, HDFC Bank first secured no objection permission from the Securities and Exchange Board of India.

On Monday, HDFC Bank shares closed 1.95 per cent lower at Rs 1,924 per share while Axis Bank shares gained 5.31 per cent to close at Rs 565.90 per share.

NSDL promoters include National Stock Exchange of India (NSE), Industrial Development Bank of India (now, IDBI Bank) and Unit Trust of India (now, Administrator of the Specified Undertaking of the Unit Trust of India, or SUUTI.

Other shareholders of NSDL are State Bank of India, HDFC Bank, Deutsche Bank, Axis Bank, Citibank, Standard Chartered Bank, The Hongkong and Shanghai Banking Corporation, Union Bank of India, Canara Bank, Kotak Mahindra Bank, Dena Bank, Kotak Mahindra Life Insurance Company.