Bank of India, UCO Bank and PNB boost capital
25 Mar 2011
Three nationalised banks, including Bank of India, UCO Bank and Punjab National Bank, have announced preferential issue of equity shares to the Government of India to raise Tier 1 capital.
The three banks together are raising around Rs2,134 in fresh capital, the three banks reported in separate filings with the stock market.
Bank of India said it has raised capital by issuance of equity shares by way of preferential allotment to the Government of India, to raise Rs1,010 crore in fresh equity.
The shareholders of the bank, at an extraordinary general meeting on 17 March, had approved the issue of 2,13,04,870 equity shares of Rs10 face value each, at a premium of Rs464.07 per share, on a preferential basis and, upon receipt of the funds from the government, has allocated the shares, Bank of India said in a filing with the Bombay Stock Exchange (BSE).
UCO Bank has issued 7,81,57,479 equity shares of Rs10 each at a premium of Rs110.27 per share, on a preferential basis, to the Government of India on receipt of contribution of Rs940 crore from the government.
Post issue, the government's holding in UCO Bank stands at 68,13 per cent, UCO Bank said in its filing with the BSE.
Punjab National Bank, meanwhile, said it will infuse Rs184 crore in equity capital with a preferential issue of 15,09,657 equity shares of face value Rs10 each, at a premium of Rs1208.82 per equity share.
The issue is awaiting shareholders' approval at the annual general meeting, PNB said in a filing with the Bombay Stock Exchange (BSE).