NEW DELHI : The Board of Directors of Karnataka Banks on Saturday approved raising of Rs 700 crore additional equity capital.
Of the Rs 700 crore, an amount up to Rs 100 crore would be raised through preferential issue of shares and Rs 600 crore through private placement(s) and qualified institutions placement(s).
The board has approved the issuance of up to 37.72 lakh equity shares of face value of Rs 10 to ICICI Lombard General Insurance Company at a price of Rs 265.06 per equity share, amounting to an aggregate of up to Rs 100 crore on a preferential basis. The board also approved to issue, offer and allot equity shares of face value of Rs 10 each fully paid-up, to permitted investors amounting to an aggregate of up to Rs 600 crore through private placement(s), qualified institutions placement(s) and/or any combination thereof or any other method as may be permitted under applicable laws.
The board of the bank, in its meeting held on 22 September 2023 had approved raising equity capital up to an amount of Rs 1,500 crore through issue of equity shares by way of qualified institutional placement, preferential issue, rights issue, or any other permissible mode of capital issue.