City Union Bank Ltd to raise Rs. 600 crore through QIP

The board of directors of City Union Bank Ltd has at its meeting held on July 13, 2020 has approved the fund raising proposal under special business of the notice calling the forthcoming Annual General Meeting (AGM) for approval by members as enabling resolutions.

The board approved proposal to raise further capital through QIP route to the tune of Rs. 600 crore (including premium). The company obtained approval for raising Rs. 500 crore during last year, but it hasn't utilized the same.

The board approved issue of Unsecured Perpetual Debt Instruments (part of Additional Tier I Capital), Non-Convertible Debentures, BASEL III compliant Tier I and TIer II bonds or such other debt securities as may be permitted under the RBI guidelines, upto a total amount of Rs. 500 crore, on private placement basis.

Shares of CITY UNION BANK LTD. was last trading in BSE at Rs.127.8 as compared to the previous close of Rs. 132.2. The total number of shares traded during the day was 60591 in over 2555 trades.

The stock hit an intraday high of Rs. 133.95 and intraday low of 127.45. The net turnover during the day was Rs. 7870618.

Source : Equity Bulls

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