IndusInd Bank, Bharat Fin gain up to 5.5% on merger talks

Shares of IndusInd Bank and

Bharat Financial Inclusion Ltd (BFIL) surged up to 5.5 per

cent today as the two companies entered into an exclusivity

agreement to evaluate merger.

The scrip of IndusInd Bank soared 5.56 per cent to settle

at Rs 1,790.65 on BSE. During the day, it jumped 6.26 per cent

to touch its one year high of Rs 1,802.65.

Shares of Bharat Financial Inclusion rose by Rs 3.34 per

cent to end at Rs 967.25. Intra-day, it went up by 4.59 per

cent to Rs 979 -- its 52-week high.

"The company has entered into an exclusivity agreement

with IndusInd Bank for agreeing to have an exclusive

discussion with IndusInd Bank about the proposed potential

strategic combination by way of amalgamation through a scheme

of arrangement, or any other suitable structure," Bharat

Financial Inclusion said in a regulatory filing.

"The exclusivity agreement provides for a mutually agreed

exclusivity period for due diligence and discussions to

evaluate a potential strategic combination between the company

and BFIL," IndusInd Bank said.

Both the companies, however, did not elaborate on the

duration of the exclusivity period.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)