IndusInd Bank shares climbed as much as 5% to touch its intraday high of ₹881 on the National Stock Exchange after reports suggested that the private lender is moving closer to finalise its new chief executive officer. The lender is struggling to recover from various accounting lapses and senior management exits, which had shaken investors’ confidence.
The company’s board is actively considering three names for the position to send them to the Reserve Bank of India for its final approval, according to a report by CNBC-TV18.
The three contenders for the position are Rajiv Anand, who is currently serving as a deputy managing director of Axis Bank; Anup Saha, managing director of Bajaj Finance; and Rahul Shukla, who is group head of Commercial and Rural Banking at HDFC Bank. Shukla is currently on a sabbatical.
Earlier, IndusInd Bank had said that the RBI had asked its board to submit a list of candidates by June 30. The upcoming change in leadership would be a significant development for the bank, which has been in focus over the past months due to several reports on lapses and accounting flaws in the lender books.
IndusInd Bank's managing director and CEO Sumant Kathpalia resigned from his position in April this year, marking a major leadership change at the private lender. The bank's deputy CEO Arun Khurana has also resigned from his position.
In March, the bank announced that there were certain accounting lapses in its derivative portfolio, which could have a negative impact of 2.35% on its net worth. This sent the bank’s shares to a tail spin, with the stock falling over 26% in a single day, erasing a significant amount of investors' wealth. However, after an external audit by PwC, the bank assessed an adverse impact of 2.27%.
At its intraday high, the stock was over 42% lower than the 52-week high level mark, while 45% above its 52-week low level. The stock has lost 41% in the last one year, but has gained 10% in the last one month. The stock has also lost over 8% in 2025 so far.
