Punjab & Sind Bank Board approves capital raise of up to ₹2,000 crore
The Board of Punjab & Sind Bank, a public sector bank, has approved capital raising of up to ₹2,000 crore to fund business growth.
The capital mop-up will be done in one or more tranches within a period of 12 months from Wednesday, said PSB in a stock exchange filing.
The exact mode or route of capital raising is yet to be decided. Equity shares could be issued through Public Issue (Follow on Public Offer) / Rights Issue /Qualified Institutional Placement(s) / Preferential Issue or any other mode or combination(s), said PSB.
Also capital mop-up could happen through Bonds in the form of Basel III-compliant Additional Tier I Bonds / Basel III-compliant Tier II Bonds, said PSB’s exchange filing.
Currently, PSB has a total of 1,561 branches and 937 ATMs.
For the third quarter ended December 31, 2023, PSB’s standalone net profit declined 69.4 percent to ₹ 114.31 crore (₹373.24 crore). Total income grew 27.1 per cent y-o-y to ₹2,852.71 crore in the quarter ended December 31, 2023. Operating profit declined 19.5 per cent to ₹277 crore (₹ 344 crore).
In the October-December 2023 quarter, PSB crossed a business mix of ₹2-lakh crore, and total business stood at ₹2,01,914 crore as of December 31, 2023.
On Thursday, PSB’s shares closed at ₹ 64.5, up 3.12 per cent over previous day’s close at the BSE.