Aditya Puri, the managing director and CEO of HDFC Bank, India’s largest private sector lender by market capitalisation, has sold off part of his equity stake valued at Rs 156.44 crore from February 11-12.
The banker sold 12.52 lakh equity shares through the open market. The stock of HDFC Bank, which has lost about 7% from its December peak, closed at Rs 1,210 on the BSE on Monday.
In a filing to the exchanges, the bank said Puri would be exercising his stock options since they would otherwise lapse. “Puri intends to sell some more equity shares of the bank held by him through previous stock options, primarily to exercise stock options already vested in his name,” the bank said.
He sold 9.01 lakh shares on February 11 and 3.5 lakh shares on February 12. After the deal, Puri’s holding will come down to 0.12% from 0.14% stake in the bank for the year ended FY19. According to the bank’s annual report, he drew a remuneration of Rs 13.67 crore in FY19 against Rs 9.65 crore in FY18.
Additionally, for FY19, he received 4.92 lakh options a decrease from the previous financial year where he received 7.01 lakh options. Puri, who has been with the bank since its inception in 1994, will retire from his post as bank chief on October 26, 2020.
The bank had last year in November set up a panel to search for his successor globally but has not yet come up with any update. Puri is an adviser to the six-member committee which comprises Keki Mistry, who is the representative from Housing Development Finance Corporation (HDFC), Shyamala Gopinath, Sanjiv Sachar, MD Ranganath, Sandeep Parekh and Srikanth Nadhamuni.
Puri first addressed the succession issue publicly at an interaction with banking analysts in May 2018.