ICICI Bank shares tank nearly 6%

Team Udayavani, Apr 3, 2018, 9:53 AM IST

Mumbai: Shares of ICICI Bank plunged nearly 6% on Monday, wiping out Rs 10,452.84 crore from its market valuation, amid controversy over alleged conflict of interest involving the lender and Videocon Group.

The stock tumbled 5.93% to end at Rs 261.90 on the BSE. Intra-day, it dived 7% to Rs 258.90. At the NSE, the stock plunged 5.92% to close at Rs 261.85.

Following the sharp fall, the company’s market valuation eroded by Rs 10,452.84 crore, to Rs 1,68,344.16 crore at close. The stock was the worst performer among blue-chips on both Sensex and Nifty indices on Monday.

On the volume front, 25.51 lakh shares of the company were traded on the BSE and over 7 crore shares changed hands at the NSE during the day. Shares of Videocon Industries also fell 4.97% to Rs 12.42 – the lowest trading permissible limit for the day – on the BSE.

With ICICI Bank embroiled in a controversy over alleged conflict of interest involving its CEO Chanda Kochhar, market regulator Sebi has begun looking into the matter for any possible disclosure and corporate governance-related lapses.

Earlier, last week, some media reports mentioned about alleged involvement of Kochhar and her family members in a loan provided to Videocon Group on quid pro quo basis.

The CBI has questioned a few officials of ICICI Bank, as part of a preliminary enquiry to find out if any quid pro quo was involved in the bank giving Rs 3,250 crore loan to the Videocon Group in 2012.

ICICI Bank said its board would meet to review insolvency cases before the NCLT.