Kotak Mahindra Bank climbs 14% on reports of Berkshire Hathaway stake buy
New Delhi: Stocks of Kotak Mahindra Bank Friday surged 14 per cent amid media reports that Warren Buffett's Berkshire Hathaway Inc was planning to pick up stake in the private sector lender.
According to media reports, Berkshire Hathaway may invest between USD 4 billion and USD 6 billion in the lender by buying promoter stake or through a preferential allotment.
Following the news, the scrip, which opened on a positive note, further jumped 13.86 per cent to the hit an intra-day high of Rs 1,345.35.
At 1330 hrs the stock was trading at Rs 1,239, up 4.87 per cent from the previous close.
On NSE, following a similar trend, the stock soared 14.03 per cent to Rs 1,345.95, its highest during the day.
It was quoting at Rs 1,238.35, an increase of 4.92 per cent from the previous close, at 1330 hrs.
The Reserve Bank had earlier asked promoters of the bank to bring down their stake to 20 per cent by December 2018 and 15 per cent by March 2020.