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V Vaidyanathan, Managing Director and CEO of IDFC First Bank has sold 2.75 crore shares for about ₹58 crore and intends to sell shares worth ₹35 crore today, the private sector lender said in a regulatory filing on Friday.
The shares were sold to close ESOP loan availed by him, it added. The further sale of shares will help Vaidyanathan to entirely repay the residual ESOP loan taken for exercising his ESOP shares to release his pledged shares, the bank said.
“He has explained that with this sale he will have nil ESOP loan, and will not need to sell any more shares in the foreseeable future. He has also explained that the bank is doing wonderfully well on all counts, is on a great trajectory of performance on all parameters,” the bank said.
After Thursday’s share sale, Vaidyanathan still holds 4.23 crore or 0.88 per cent shares in the bank.
“The prices of the stock has come down recently due to the Coronavirus related development in the stock market, which resulted in margin call, and at this stage I decided to sell the stock to entirely square off the ESOP loans,” Vaidyanathan said in a letter to the bank’s compliance officer.
IDFC First Bank scrip was trading at a gain of 1.94 per cent at ₹21.05 apiece on the BSE.
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