STOCK MARKET BSE NSE

Punjab & Sind Bank to allot shares worth Rs 5,500 crore to government in lieu of capital infusion

The bank said that a EGM will take place through video conferencing and other audio visual means for passing the resolution for issuing shares to the government.

Published: 23rd February 2021 05:30 PM  |   Last Updated: 23rd February 2021 05:30 PM   |  A+A-

A Punjab & Sind Bank branch

A Punjab & Sind Bank branch. (File photo| PTI)

By PTI

NEW DELHI: Punjab & Sind Bank will allot preferential shares to the government next month in lieu of Rs 5,500 crore capital infusion into the bank.

An extraordinary general meeting (EGM) of the shareholders of the bank is scheduled on March 25, 2021 for preferential issue of equity shares to the government up to Rs 5,500 crore, the bank said in a regulatory filing.

The bank said that the EGM will take place through video conferencing and other audio visual means for passing the resolution for issuing shares to the government. In September, the government had approved a Rs 20,000 crore fund through Parliament, as part of the Supplementary Demands for Grants for 2020-21, for capital infusion into public sector banks (PSBs).

Of this, Rs 5,500 crore was approved to be infused into P&SB. As far as the residual Rs 14,500 crore for capital infusion is concerned, the government has to take a call in the ongoing quarter. Shares of Punjab & Sind Bank closed 5.07 per cent down at Rs 16.65 apiece on the BSE.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp