PSBs receive capital infusion from government

Mumbai, Dec 31 (IANS): Several public sector lenders on Saturday said they have received capital infusion from the central government.

State-owned Bank of India said it has received a capital infusion worth Rs 2,257 crore.

"The bank has on December 29 received an infusion of Rs 2,257 crore from Government of India in form of common equity tier-1 capital, which is being kept as share application money and would be alloted after due procedure/conditions for allotment," the bank said in a regulatory filing to the BSE.

On October 24, the government had approved a recapitalisation plan for strengthening NPA-hit state-run banks to a tune of Rs 2.11 lakh crore.

"The infusion is in terms of the Ministry of Finance, Department of Financial Services, Government of India," the BSE filing added.

Another PSB Dena Bank said that it has received an infusion of Rs 243 crore on last Friday towards contribution of the central government in the preferential allotment of equity shares.

"The same has been kept as share application money and would be issued after necessary approvaIs or permissions," the PSB said in a BSE filing.

"Board approval for the same is already in place. This is within the approval of the
board obtained on 9th May,2017 for raising CET1 capital up to an amount of Rs
1,800 crore in one or more tranche."

In addition, Central Bank of India informed that a meeting of its Capital Raising Committee of the Board of Directors will be held on Wednesday, January 3, 2018 "to consider and approve raising of additional equity capital up to Rs 323 crore."

The PSB said that it might issue and allot equity shares of the face value of Rs 10 each to the "President of India (Government of India) on preferential basis subject to approval of Reserve Bank of India, shareholders and other statutory authorities."

Top Stories

Leave a Comment

Title : PSBs receive capital infusion from government


You have 2000 characters left.


Please write your correct name and email address. Kindly do not post any personal, abusive, defamatory, infringing, obscene, indecent, discriminatory or unlawful or similar comments. will not be responsible for any defamatory message posted under this article.

Please note that sending false messages to insult, defame, intimidate, mislead or deceive people or to intentionally cause public disorder is punishable under law. It is obligatory on Daijiworld to provide the IP address and other details of senders of such comments, to the authority concerned upon request.

Hence, sending offensive comments using daijiworld will be purely at your own risk, and in no way will be held responsible.

Security Validation

Enter the characters in the image