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IndusInd Bank shares surge over 6% after Rajiv Anand becomes MD & CEO for three yearsIndusInd Bank has been without an MD & CEO since Sumant Kathpalia announced that he will be stepping down from his position in April this year, taking moral responsibility of the derivative portfolio accounting issue, that led to a sharp correction in the lender's stock price. The stock though, has since recovered from those levels.By Hormaz Fatakia   August 5, 2025, 9:32:05 AM IST (Updated)2 Min ReadShares of IndusInd Bank Ltd., the Mumbai-based private lender, surged as much as 6% on Tuesday, August 5, after it announced the appointment of Rajiv Anand as its new MD & CEO, late Monday night. The announcement also confirms a CNBC-TV18 newsbreak from June 27.

Rajiv Anand will be appointed for a three-year tenure, which means he will remain at the helm of affairs at the bank until August 24, 2028, IndusInd Bank said in its exchange filing.

In his previous stint, Rajiv Anand was Deputy MD at Axis Bank where he also oversaw the wholesale banking business and for driving the lender's digital agenda.

IndusInd Bank has been without an MD & CEO since Sumant Kathpalia announced that he will be stepping down from his position in April this year, taking moral responsibility of the derivative portfolio accounting issue, that led to a sharp correction in the lender's stock price. The stock though, has since recovered from those levels.

Following the accounting issue, IndusInd Bank reported its first net loss in two decades during the March quarter. It returned to profitability during the most recent quarter, but those figures were substantially lower than last year, although they were higher than the subdued street expectations.

CNBC-TV18 had reported on June 27 that Rajiv Anand is one of the three names that IndusInd Bank has shortlisted for its new MD & CEO ahead of the regulatory deadline. Anand was one of the names shortlisted alongside Anup Saha, who also quit recently as Bajaj Finance's chief, and Rahul Shukla of HDFC Bank.

Brokerage firm Jefferies wrote in its note that it sees this development as a key positive for IndusInd Bank considering Rajiv Anand's longstanding stint with Axis Bank.

"Reorganisation of IndusInd Bank's top management may be the key initial steps and we ill watch out for joiners from other banks," Jefferies said, adding that improved fee, asset and operating efficiency, besides credibility will be their key expectations.

Jefferies has a "buy" rating on IndusInd Bank with a price target of ₹920, implying a potential upside of 17% from current levels.

Shares of IndusInd Bank are trading 5.5% higher on Tuesday at ₹847.7. As of Monday's close, the stock had recovered 33% from its 52-week low of ₹606 that it had declined to when the derivative accounting issue first came to light earlier this year.

(The June 30 newsbreak on Rajiv Anand was by Ritu Singh.)Continue ReadingFirst Published: Aug 5, 2025 4:59 AM ISTCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsIndusInd BankIndusInd Bank share priceIndusInd Bank sharesRajiv Anandshare market today