Girish Kougi, CEO, PNB Housing Finance
Shares of the PNB home financing of India were on course for their worst falls of one session in almost seven years on Friday, because the surprise of the CEO gave rise to concern about the growth of the profitable affordable housing segment.
The shares of the home financier fell more than 17 percent to a four-month low-month point of £ 813 in Mumbai and were on their way for their sharpest fall since 19 October 2018. India’s benchmark Nifty 50 index fell by 0.6 percent in the aftermath of steep American rates.
Girish Kougi, who was named MD and CEO of PNB Housing in October 2022, will resign his position on October 28 this year, the lender said on Thursday after market hours, adding that the search for a successor started.
The strategic shift from the lender to affordable and emerging homes had led to ensure that analysts increase their assessments on his shares, because the competition in the segment is relatively benign, according to Pranav Gundlapalle, senior research analyst at Bernstein.
“The CEO – which came from an affordable housing background at Can Fin Homes – was generally seen as the architect of this transformation. His resignation now makes doubt about the continuity of this strategy,” said Gundlapalle.
If the affordable housing focus was to be settled, PNB home construction risks would become according to other housing financing companies, which, according to the analyst, have significant challenges for competing with banks.
SBI Securities said that the dismissal of the CEO is negative for the shares in the short term.
The assets of PNB Housing Finance in the affordable housing segment more than the year after year doubled to £ 5,744 crore ($ 656.86 million) for the quarter ending on 30 June.
On Thursday, the Housing Finance Company said that its “strategic priorities, business focus and growth trajectory remain firm intact, based on the strong base that Kougi has helped build”.
Almost 30 million shares changed ownership from 2.47 pm ist, 27 times the average of 30 days.
Published on August 1, 2025
#PNB #Housing #Finance #Shares #fall #steepest #fall #years #CEO #resigns