Shares of Lakshmi Vilas Bank jumped 10% on Wednesday, hitting the upper circuit at ₹22.35 apiece, right after the non-public lender explained that the mutual due diligence approach for the proposed amalgamation of Clix Team with the bank is substantially total.
“The proposed amalgamation is issue to completion of mutual due-diligence, regulatory and other customary approvals,” Lakshmi Vilas Bank reported in a regulatory filing.
“We desire to notify that the mutual due diligence is considerably entire, and the functions are in conversations on the future ways. The Bank will carry on to share any even further details as and when they materialize,” it added.
In June, Lakshmi Vilas Bank claimed that it had been given preliminary, non-binding letter of intent (LoI) from Clix Capital Solutions & Clix Finance India (collectively the Clix Group).
On 30 July 2020, the bank experienced knowledgeable that, as per the mutual being familiar with amongst events, the exclusivity time period was extended till 15 September 2020 due to prevailing pandemic problem.
The bank noted a loss of ₹112.28 crore in Q1 FY21 as in comparison to a loss of ₹237.25 crore recorded in Q1 FY20. Full income through the quarter declined 20.4% y-o-y to ₹538.84 crore from ₹677.17 crore.
From the beginning of the yr, Lakshmi Vilas Bank attained 30% towards a slide of 5% in the benchmark Sensex.
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