Public sector Corporation Bank was looking for overseas companies to partner with for its entry into the general insurance business and had already appointed a consultant to take the process forward, Chairman and Managing Director JM Garg said here on Saturday.
“At present, we are looking at tying up with a foreign partner. The plans for the general insurance business should be firmed up by the end of the year,” Garg said at the sidelines of an event where Union Finance Minister Pranab Mukherjee simultaneously opened 250 new branches of the bank.
The bank is also planning to augment its global footprint by opening five overseas branches over the next couple of years. While it already had representative offices in Dubai and Hong Kong, which might be upgraded into full-fledged branches, it was looking at other locations such as Bahrain, London and Singapore, Garg said.
Meanwhile, the bank intends to raise about Rs 2,000 crore this year through Tier-I and Tier-II bonds, as it has a headroom of Rs 4,500 crore. In 2011-12, it could also look at going for a rights issue or a follow-on public offer.
While the government presently held a 57 per cent stake in the bank, this could be brought down to 51 per cent, Garg added.
