Indian Bank jumps over 6 per cent on FSIB recommendation of Binod Kumar as CEO and MD — Who is he?

Shares of Indian Bank rose by 6.54 per cent on November 25 after the Financial Services Institutions Bureau (FSIB) announced its recommendation of Binod Kumar as CEO and MD of the bank.

At time of writing, the stock was at ₹566.80 per share, up 6.54 per cent since open, with market cap of around ₹76,320 crore. The stock opened at ₹540.35/share and peaked at ₹590.60/share at 9.55 am.

In its statement, the FSIB said that it interviewed 15 candidates for the forthcoming post and “keeping in view their performance in the interface, overall experience and the extant parameters”, recommends Binod Kumar for the position of MD & CEO in Indian Bank.

Who Is Binod Kumar?

According to a PTI report, Binod Kumar is at present the Executive Director of Punjab National Bank (PNB). He is likely to replace SL Jain, Indian Bank's current CEO and MD on his superannuation next month (December 2024).

Notably in April, the FSIB had recommended Asheesh Pandey for the role, but this was deferred and fresh interviews were conducted after the Reserve Bank of India (RBI) raised some reservation over the suggestion, it added.

Final decision on the appointment will be taken by the Union Cabinet, chaired by Prime Minister Narendra Modi.

About FSIB

FSIB is the headhunter for directors of public sector banks (PSBs) and other state-owned financial institutions. It is headed by former Department of Personnel and Training Secretary Bhanu Pratap Sharma.

Other members include former chairman and MD of erstwhile Oriental Bank of Commerce, Animesh Chauhan; the RBI's former executive director Deepak Singhal; ex-MD of erstwhile ING Vysya Bank, Shailendra Bhandari.

Indian Bank Q2FY25

Indian Bank on October 28 released its Q2FY25 earnings, reporting a 36 per cent increase in profit at ₹2,707 crore for the second quarter ended September 2024. The Chennai-based lender had earned a net profit of ₹1,988 crore in the same quarter a year ago.

Total income increased to ₹17,770 crore during the quarter under review from ₹15,736 crore in the same period last year, it said in a regulatory filing.

(With inputs from PTI)