Commonwealth Bank of Australia pares stake in IDFC to 6.98%

Commonwealth Bank of Australia has reduced its stake in IDFC Ltd to below 7 per cent by selling shares held through its asset management divisions in the infrastructure finance company.

It held 8.17 per cent shares in IDFC Ltd previously.

Following the stake sale, the holding by Commonwealth Bank of Australia (CBA) has now come down to 6.98 per cent, the settlement of which was done in an open market share sale on April 7.

CBA has investment in IDFC through its asset management divisions -- First State Investment Management (UK), First State Investments International Ltd, First State Investments (Singapore), First State Investments (Hong Kong) and Colonial First State Asset Management (Australia).

"We act as investment manager to both segregated and pooled clients, with a particular focus on Asia Pacific and global emerging markets equities. As part of these strategies, our fund managers have decreased parts of their interests in IDFC Ltd...decreasing our holdings to 6.98 per cent on April 7, 2017," CAB said in a communication through IDFC filing.

IDFC Ltd had transferred its financing undertaking to IDFC Bank which commenced operations from October 2015.

Following the transfer, IDFC Ltd is now mainly an investment holding company with minimal operations.

Stock of IDFC Ltd today closed 0.85 per cent up at Rs 59.05 on BSE.

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