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Outcome of board meeting of South Indian Bank

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Capital Market
Last Updated : Jun 02 2015 | 7:48 PM IST

Held on 02 June 2015

South Indian Bank announced that the Board of Directors of the Bank at its meeting held on 02 June 2015, has decided the following:

1. To augment Tier I capital by way of increasing the paid-up capital of the Bank by issue of equity shares not exceeding Rs.20 crore in nominal value, in one or more tranches, on such terms and conditions as it may deem fit, subject to the approval of Reserve Bank of India, Shareholders and other regulatory authorities, if any. The mode, price and time of the issue will be intimated in due course.

2. To seek the approval of Shareholders in the ensuing Annual General Meeting to increase the Foreign Direct Investment Limit by 10% (i.e. from 49% to 59%) under the approval route and to approach the FIPB for their approval.

3. To increase borrowing power from the present limit of Rs. 5,000 crore (Rupees Five Thousand crore) to Rs. 6,000 crore (Rupees Six Thousand crore) pursuant to Section 180(1)(c) and other applicable provisions, if any, of the Companies Act, 2013 subject to the approval of Shareholders in the ensuing Annual General Meeting.

4. To authorize the Board to issue Basel III compliant Tier II Bonds, to be considered for Capital Fund purpose and / or Long term bonds for Infrastructure (Project) Finance and Affordable Housing in the nature of debentures on private placement basis, for a total face value not exceeding Rs. 1000 crore.

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First Published: Jun 02 2015 | 5:57 PM IST

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