HDFC Bank Shares Plummet 8% to 52-Week Low, ₹1 Lakh Crore in Market Capitalization Erased

HDFC Bank Share Price Declines 8% Amid Resignation of Part-time Chairman

On [current date], HDFC Bank's share price hit a 52-week low of ₹772 on the BSE, marking an 8% decline. The drop in share price follows the sudden resignation of Atanu Chakraborty, HDFC Bank's part-time Chairman, late on Wednesday.

Resignation Background Atanu Chakraborty, who was appointed as part-time Chairman in April 2021 and reappointed in May 2024, cited concerns over "values and ethics" in his resignation letter. He expressed that certain developments and practices observed over the past two years were not aligned with his personal principles. Notably, his resignation came during a transformative period for the lender, which included a $40 billion merger with HDFC Ltd in 2022.

Investor Concerns Addressed During an ongoing conference call, HDFC Bank sought to downplay recent developments, stating that there are "no material concerns" at this time. Keki Mistry, Interim Chair, emphasized that there is no power struggle within the bank and that differences on minor issues can arise from time to time. The board reaffirmed that there is no change regarding the reappointment of CEO Sashidhar Jagdishan. Jagdishan reiterated that the bank will continue to maintain trust, with Deputy MD Kaizad Bharucha taking on greater responsibilities going forward.

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