Axis Bank shares up 4% on insolvent loan declaration

MUMBAI: Shares of Axis Bank Ltd on Thursday gained as much as 4% after the bank clarified to the exchanges that its 80% insolvent loans are secured. Axis Bank shares closed at ₹511.70 on the BSE, up 3.48% from its previous close. This move is seen positive as provisioning requirement on secured loans is lower as compared to unsecured loans. The bank said in a notice to BSE that it had exposure to eight out of the 12 stressed accounts that the RBI had advised initiating insolvency process on.