HDFC Bank Reduces Its Stake In HOEC

In a recent development, one of India's largest banks, HDFC Bank informed the stock exchanges that the company has reduced its stake in Hindustan Oil Exploration Company Limited (HOEC), which was held by erstwhile HDFC Ltd.

HOEC is an Oil & Gas Exploration Sector company engaged in the exploration, development, and production of crude oil and natural gas in India, both onshore and offshore.

The shares were sold on March 31, 2022, and on June 23, 2023, by erstwhile HDFC Ltd. and between September 1, 2023 and September 21, 2023 (both days inclusive) by HDFC Bank Limited. Aggregating the aforesaid shares sold, such sales crossed the 2% threshold on a cumulative basis, on September 21, 2023, with the total stake sold being 2.22% as on September 21, 2023.

The board of directors of the company in a filing said, "We wish to inform you that out of 86,83,148 equity shares of Rs. 10 each held by erstwhile HDFC Ltd., in Hindustan Oil Exploration Company Limited ("HOEC") (i) HDFC Ltd. sold 239,144 shares (representing 0.18% of the share capital of HOEC) on March 31, 2022 and on June 23, 2023 and (ii) after the effective date (July 1, 2023) of the merger of HDFC Ltd. with and into HDFC Bank Limited (the "Bank"), the Bank sold 26,98,744 shares (representing 2.04% of the share capital of HOEC). Thus, the aggregate stake sale is 2.22% of the share capital of HOEC."

The shares of HDFC Bank Limited on Friday opened at Rs 1,557 apiece, currently trading 0.31% lower at Rs 1,548.85 apiece on the BSE. Its 52-week high is Rs 1,757.80 apiece and 52-week low is Rs 1,365.05 apiece. The stock declined 6.70% in 1 week, and 2% in 1 month, respectively. It gained 12.35% in 1 year, 49.66% in 3 years, and 57.50% in 5 years, respectively.

Meanwhile, the shares of HOEC today opened at Rs 160.90 apiece, currently trading 0.87% lower at Rs 159.50 apiece. Its 52-week high is Rs 258 apiece and 52-week low is Rs 115.90 apiece. Stock declined 6.81% in 1 week, and 5.06% in 1 month, respectively. It gained 14.58% in 1 year, 130.16% in 3 years, and 15% in 5 years, respectively.