Andhra Bank allots 11,10,49,416 equity shares to Government of India

The Board of Directors of the Bank on 30.01.2020 approved the resolution for "raising of equity capital of the Bank by issuance of equity shares by way of preferential allotment to Government of India to an extent of Rs.200 crore, and authorized Managing Director & Chief Executive Officer (CEO) and/or Executive Director(s) (in absence of the Managing Director & CEO) to do all such acts, deeds and things as may be necessary and expedient with regard to issue and allotment of equity shares to Government of India on preferential basis and to do all matters incidental or ancillary thereto.

The shareholders of the Bank approved the issuance of 11,10,49,416 equity shares of Rs 10/- each to Government of India on preferential allotment basis at Rs.18.01p per equity share (including a premium of Rs.08.01p. per equity share) at the Extra-ordinary General Meeting held on 26.02.2020 at Hyderabad by way of special resolution.

Government of India also conveyed its sanction to increase the paid up capital by way of preferential allotment of equity shares to Government of India to the extent of Rs. 200 crore, We have also received requisite approval from RBI as well as in-principle approvals from BSE/NSE.

Accordingly, the Bank has on 04.03.2020 issued and allotted ll,10,49,416 equity shares of Rs.10/- each at Rs.18.01p, per equity shares (including a premium of Rs.08.01p. per equity share) to Government of India on preferential basis. After the said allotment, Government of India's holding has been increased from 262,06,34,630 (87.81%) to 273,16,84,046 (88.25%) equity shares.

Shares of ANDHRA BANK was last trading in BSE at Rs.12.98 as compared to the previous close of Rs. 13.18. The total number of shares traded during the day was 41167 in over 241 trades.

The stock hit an intraday high of Rs. 13.49 and intraday low of 12.85. The net turnover during the day was Rs. 538097.

Source : Equity Bulls

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