Sunday, June 22, 2025

IndusInd Bank Share Crash: Lender has 6 lakh retail shareholders; Mutual Fund holdings double in 12 months

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India’s mutual funds had doubled their holdings in Mumbai-based private lender IndusInd Bank Ltd., over the last 12 months, according to data available on the stock exchanges. Retail shareholding too, has seen a significant increase over the same timeframe. Shares of IndusInd Bank are down 26% on Tuesday, March 11, their biggest single-day fall on Record.According to data available on the Bombay Stock Exchange (BSE), India’s mutual funds own a 30.31% stake in IndusInd Bank at the end of the December 2024 quarter. This is double of the 15.63% stake they held in the lender at the end of the December quarter in 2023.
These are some of the funds that have an exposure to the lender:

Fund Exposure (As Of December, 2024)
ICICI Prudential India Opportunities Fund 5.07%
HDFC Top 100 Fund 4.17%
UTI Large Cap Fund 3.57%
Nippon Life India Trustee Ltd. 2.96%
Aditya Birla Sun Life Trustee Pvt. Ltd. 1.28%
Kotak Equity Arbitrage Fund 1.26%
Bandhan Sterling Value Fund 1.23%
Franklin India Focused Equity Fund 1.12%

Similarly, the stake of retail shareholders, or those with an authorised share capital of up to ₹2 lakh, has also seen a significant increase over the last 12 months.
At the end of the December quarter, 6.17 lakh retail shareholders had shares of IndusInd Bank, in comparison to the 3.42 lakh shareholders who had shares of the bank in December 2023.In percentage terms, the total shareholding of retail investors has increased from 5.76% to 7.9% as of December 31, 2024.

In an interaction with CNBC-TV18, IndusInd International Holdings Chairman Ashok Hinduja said that promoters will have to follow process to increase their stake in the bank and that there has been no margin call on their pledged shares as of now.

At the end of the December quarter, promoters of IndusInd Bank had a 16.29% stake in the lender. Hinduja went on to say that as and when further capital is required, promoters will be there with the lender.

Shares of IndusInd Bank are currently trading 25% lower at ₹680.15. The stock is down 56% from its recent peak of ₹1,576.

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