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Karur Vysya to raise Rs 1,000 cr via QIP

The bank plans to raise FII investment cap

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Gireesh Babu Chennai
Last Updated : Aug 07 2013 | 8:18 PM IST
Karur Vysya Bank Ltd has received approval from the Board of Directors to raise up to Rs 1,000 crore through Qualified Institutional Placement (QIP). The Bank is also planning to raise investment cap for Foreign Institutional Investors (FIIs) upto 40% of the paid-up capital of the Bank, subject to approvals, it informed the Bombay Stock Exchange today.

The Bank said that the Board of Directors, in its meeting held on August 6, have decided "to place a proposal seeking consent of the shareholders for the issue of equity shares by way of QIP in accordance with the Sebi guidelines, with the approval of Reserve Bank of India (RBI) and other Regulatory Authorities, up to Rs 1,000 crore.

It has also approved to raise the investment cap for the FIIs upto a limit of 40% of the paid-up capital of the Bank subject to the approval of the shareholders of the bank and the RBI.

According to the Shareholding information available with the Stock Exchange, the FII investment in the Bank as on June, 2013 is around 24.75%, while it was 25.29% in the previous quarter and 26.11 during the quarter ended December 2012.

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First Published: Aug 07 2013 | 8:15 PM IST

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