ICICI Bank Shares Drop 2% Following Employee Share Allotment The stock price of ICICI Bank Limited, a major Indian financial services provider, fell by nearly 2% on Monday, trading at ₹1,221.40. This marks a decline from its previous closing price of ₹1,245.40. As of the latest update, the stock is trading at ₹1,223.70, reflecting a more than 4% drop over the past five trading days. The decline follows the bank’s announcement of allotting 28,800 shares under its Employees Stock Unit Scheme-2022. The shares, with a face value of ₹2 each, were approved by two executive directors in a filing submitted to the BSE Limited and National Stock Exchange of India Limited on Friday. The filing noted that the allotment was authorized by the board of directors during a meeting on October 21, 2023. The Employees Stock Unit Scheme-2022 is designed to reward eligible employees with equity-linked benefits, fostering a sense of ownership and long-term commitment to the bank’s growth. According to the bank, the program aims to align employee interests with the company’s performance while serving as a retention tool. The scheme specifies that no single employee can receive more than 20,000 units in a single financial year. Additionally, the total number of units granted to any employee over seven years from the scheme’s shareholder approval date cannot exceed 0.14% of the total units available for allocation. The allotment has contributed to ongoing selling pressure in the stock, as investors react to the company’s decision to distribute shares to employees. The move may signal a shift in capital allocation or raise questions about the bank’s financial strategy.#icici_bank #employees_stock_unit_scheme_2022 #national_stock_exchange_of_india #bse_limited #chetan_pawar
