Centurion gets approval for ChrysCap placement

Centurion Bank of Punjab has got the Reserve Bank of India approval to issue equity shares on preferential basis to Johann Ltd, a wholly owned subsidiary of Chrys Capital III LLC.

The private sector bank will allot seven crore equity shares to Chrys Capital at a price of Rs 19.25 a share, aggregating Rs 134.75 crore.

After the shares are issued to it, ChrysCapital will hold about 4.7 per cent stake in Centurion Bank of Punjab. The capital will expand from 141 crore equity shares to 148 crore shares.

The issue will strengthen the bank's capital position and will provide an impetus to its growth, said a statement released by Centurion Bank of Punjab today.

Earlier, the bank had, as per the RBI approval, allotted 12.76 crore equity shares at a price of Rs 19.25 per equity share on March 21, 2006, to funds managed by India Value Fund Advisors and Citigroup Venture Capital International Growth Partnership Mauritius.

On the Bombay Stock Exchange, Centurion Bank of Punjab's stock slipped to close at Rs 24.75 from the previous close of Rs 26.05.