Public sector lender IDBI Bank may go for equity base expansion in the next financial year, a top bank official said today.
"Currently, our capital adequacy is 13.6% and for growth of the targeted 15-16% during the current fiscal, we are well capitalised, but we may require to do so in the FY 2013," IDBI Chairman and Managing Director R M Malla said here.
"We will follow whichever route is cheaper and suitable," he said.
The bank will weigh options from follow-on public offer (FPO), rights issue or qualified institutional placement.
Malla did not give any indication on the amount the bank aimed to raise through the capital expansion route.
The government now has 65% stake in the bank after it infused Rs 3,000 crore.
The bank had recently raised Tier-II capital issue of Rs 900 crore and would raise another $1 billion in the next one year in foreign curreny through the medium-term note programme.
The bank was also looking at $300-350 million for the SME sector with partial guarantee from the Asian Development Bank.
