India's Equitas Small Finance bank jumps on merger plan

Equitas Small Finance Bank

22/03/2022 06:32

** Indian bank's shares  EQUI.NS  gain as much as 9.4% to
57.85 rupees, their highest since Feb. 21
    ** Equitas Holdings  EQHL.NS , EQUI's holding company, on
Monday approved https://bit.ly/3qp3QWG a merger with EQUI,
pending regulatory nods
    ** EQHL shares rise as much as 10.8% to 119.50 rupees, their
highest since Feb. 11  
    ** EQHL shareholders will get 231 EQUI shares for every 100
EQHL shares held by them
    ** "Overall, (EQUI) has done very well on the liability
front while diversifying its asset base away from (microfinance
institutions)... We believe that once the merger is completed,
(EQUI) will apply for a universal banking licence, which should
be long-term positive for (EQUI)" - Emkay Global Financial
Services, which has a "buy" rating on the stock
    ** Shares of both companies pare gains, and were up 1.6% as
of 0622 GMT in a weak Mumbai market  .BO  
    


 (Reporting by Anuron Kumar Mitra in Bengaluru)
 ((AnuronKumar.Mitra@thomsonreuters.com; +91 99863 58469;))