FEDERAL BANK SURGES TO 52-WEEK HIGH AHEAD OF Q4 RESULTS, SPECULATIONS RIFE OVER NEW LEADERSHIP

Federal Bank shares hit a 52-week high on Thursday (May 2). The stock rose by nearly 5% to reach ₹170.25 apiece. This surge comes just ahead of the bank's board meeting where it is expected to report its financial results for the March quarter and unveil future plans and initiatives.

One of the driving factors behind this surge is speculation surrounding the bank's leadership.

Kotak Mahindra Bank's KVS Manian, who was recently elevated as Joint Managing Director, resigned on Tuesday (April 30), sparking rumors that he may be moving to Federal Bank.

CNBC-TV18 had earlier reported, citing sources, that Manian is among the short-listed candidates for the position of the new Managing Director & CEO.

However, despite widespread speculation, there has been no official announcement regarding Manian's potential appointment or any other leadership changes within Federal Bank.

Shyam Srinivasan, who has been serving as the CEO of Federal Bank, is scheduled to complete his term in September 2024.

In March, Federal Bank stopped issuing new co-branded credit cards, citing regulatory guidance from the Reserve Bank of India (RBI).

The move came as part of the bank's commitment to rectify areas of deficiency outlined in a letter from the RBI and to ensure compliance with regulatory standards.

The Federal Bank, in its notice, assured customers that it is actively working to address the identified issues and will seek regulatory clearance before resuming the issuance of new co-branded credit cards.

At the time of writing this report, Federal Bank shares were trading over 4% higher at ₹169.10 apiece on BSE.

ALSO READ | Kotak Mahindra Bank shares fall after KVS Manian resigns, Nuvama downgrade

2024-05-02T05:36:53Z dg43tfdfdgfd