South Indian Bank to raise Rs 500 crore to augment business capital

South Indian Bank will raise Rs 500 crore by issuing debt securities, long-term infrastructure bonds on a private placement basis to augment business requirements.

The bank said it will borrow the funds in Indian or foreign currency.

South Indian Bank said it will raise an amount not exceeding Rs 500 crore in one or more tranches, within the overall borrowing limits of the bank, it said in a regulatory filing.

The proposal was cleared at the annual general meeting held last month.

South Indian Bank also informed it has appointed International Finance Corporation (IFC) as a consultant for advisory support for augmenting business across various verticals to achieve the strategic pact-2020 vision, Rs 2,00,00 crore turnover and Rs 1,000 crore net profit.

Among others, the bank said it will open 50 offices, including new branches and extension counters, and 150 ATMs during the current fiscal year.

The bank's scrip closed 0.71% up at Rs 21.25 on BSE.