Mumbai: ICICI Bank, India’s second-largest lender said on Wednesday that its top management had not sold the bank’s shares after the stock tumbled more than 10% by afternoon.
“These rumours are baseless and irresponsible, and no shares have been sold by members of the top management of the bank during the current year,” the bank said in a statement.
By 2:36 pm, ICICI shares were down 4.5% at Rs565 in a weak Mumbai market, after falling as much as 10.4% earlier in the day.
The stock has been hit by worries the bank’s exposure to Lehman Brothers debt may hurt profits.
The bank said on Tuesday it had $81 million of Lehman’s senior bonds, and would increase its provision on the debt by about $28 million to cover half of that exposure.