Bandhan Bank has announced that Ratan Kumar Kesh has been appointed the bank’s Executive Director (ED), subject to shareholder approval, for three years starting March 31, 2023.
The bank has also received binding bids of Rs 369.2 crore for a written-off portfolio worth Rs 2,614.03 crore and Rs 370.62 crore for a non-performing asset originating from banking units worth Rs 2,316.32 crore from an asset reconstruction company. The transfer of loans to the asset reconstruction company will be on a security receipt consideration basis.
As of 10:34 am, following the announcements, the shares of Bandhan Bank Ltd saw a 3.6% rise to reach Rs 210.1 apiece, in contrast to the benchmark Nifty 50’s gain of 0.2%. However, the bank’s stock declined by over 12% in 2023. According to Bloomberg, out of the 30 analysts tracking the company, 23 maintain a ‘buy’ rating, five recommend a ‘hold’, and two suggest ‘sell’ for the stock. The consensus price target for the next 12 months suggests an upside of 43.3%.
Kesh’s appointment as a whole-time director has been approved by the Reserve Bank of India (RBI). The bank’s board of directors recommended Kesh’s appointment based on the Nomination and Remuneration Committee’s (NRC) suggestion. With over 28 years of experience in banking and finance, manufacturing, and services industries, Kesh has held leadership roles in Axis Bank, HDFC Bank, ICICI Bank, and Yes Bank. His focus areas include automation, customer experience, transformation, quality improvement, and related functions.
Kesh’s appointment comes after the bank’s CEO and MD, Chandra Shekhar Ghosh, resigned in December 2021. In addition to Kesh’s appointment, Bandhan Bank’s board has also approved the appointment of Deepak Parekh as a non-executive director, who is the Chairman of HDFC.