Canara Bank arm seeks Sebi nod to raise Rs 300 cr

Can Fin Homes has sought capital market regulator Sebi's approval to raise up to Rs 300 crore through a Rights Issue to shore up its capital base.
Shares are issued to existing investors based on their holdings at a pre-determined price and ratio.
Can Fin Homes, promoted by Canara Bank, would issue equity shares for an aggregate amount of up to Rs 300 crore on a rights basis to its shareholders, as per a draft letter filed by the firm with Securities and Exchange Board of India.
Can Fin Homes is primarily engaged in the business of housing finance.
The company intends to utilise the net proceeds towards "augmentation of our capital base, which will result in an increase in our networth and enable us to meet our future capital adequacy requirements".

SBI Capital Markets is the lead managers to the issue, while Karvy Computershare is the registrar to the issue.
In July, the board of Can Fin Homes had approved raising funds through a rights issue.
At the end of June 30, 2014, the company had gross and net NPAs (Non-Performing Assets) of Rs 1,843.04 lakh and Rs 632.62 lakh respectively.