People's Bank of China picks up 1% stake in HDFC

Domestic equities came under pressure in March, including that of HDFC's, after the spread of COVID-19 pandemic in India.

China’s central bank People's Bank of China (PBoC) has picked over 1% stake in the country's largest mortgage lender HDFC Ltd.

According to March-end shareholding pattern disclosed by the mortgage lender to the stock exchanges, the People's Bank of China has 1.75 crore shares or 1.01% stake in HDFC.

The Chinese bank had some stake in HDFC prior to Jan-March quarter, but the disclosure was made since the shareholding crossed 1% during the fourth quarter of 2019-20.

Domestic equities came under pressure in March, including that of HDFC's, after the spread of COVID-19 pandemic in India.

HDFC shares are currently trading only marginally higher than their 52-week low of ₹1,473.10 that was touched on March 24.

Incidentally, the shares touched their 52-week high of ₹2,500 on January 14 and are currently trading around 32% lower than the highs.

HDFC has been one of the most volatile stocks among the Sensex pack in the recent past, coming under heavy selling pressure as banking and financials sectors have bore the maximum brunt of investor pessimism.

In the last one month, while the Sensex has lost nearly 13%, shares of the housing finance major have lost over 16%, having fallen from ₹2,036.

Shares of HDFC are currently at ₹1,701.95 after having gained over 9% on Thursday. On Friday, the markets were shut on account of Good Friday.