Canara Bank enters into agreement for sale of 4% stake in ISARC

7 Apr 2022 , 11:12 AM

Canara Bank has executed a Share Purchase Agreement, dated April 6, 2022 for sale of entire equity stake of 4% in India SME Asset Reconstruction Company Limited (ISARC),

The divestment is subject to RBI approval for change in sponsor shareholder of India SME Asset Reconstruction Company Ltd (Being an ARC).

Cash consideration is computed as Purchase Shares multiplied by Purchase Price per Share i.e. Rs3.92 crore. The shares are purchased at Rs9.80 per equity share ( Face value being Rs10 to be issued as per proposed terms of agreement, company said in a filing on Wednesday.

At around 11.15 am, Canara Bank was trading at Rs249.30 per share up by Rs1.4 or 0.56% from its previous closing of Rs247.90 per share on the BSE. 

The scrip opened at Rs246.50 and has touched a high and low of Rs250.75 and Rs246.50 respectively.