InvestorQ : Why did the stock of Centrum Capital rally so sharply on 21 June, Monday?
diksha shah made post

Why did the stock of Centrum Capital rally so sharply on 21 June, Monday?

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swati Bakhda answered.
5 months ago
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You are right that the stock of Centrum rallied 16% to Rs.58.50 on Monday. This came on the back of RBI approving the proposal by Centrum Financial Services to set up a Small Finance Bank or SFB. RBI is open to Centrum taking over PMC Bank but wants the structure to be designed in the SFB format so that the merger becomes easier.

It may be recollected that on of the major investors in Centrum Capital is former Standard Chartered Bank India head, the high profile Jaspreet Bindra. Centrum Financial and Bharat Pe will jointly infuse Rs.1,800 crore into the SFB to start operations and take over PMC Bank. This deal will bring much needed relief to depositors of PMC Bank after a 2 year wait.

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