Kotak launches $1 bn QIP, will issue 65 mn new shares for Rs 1,147.75 each

The bank has the discretion to offer up to 5% discount on floor price to investors participating in the QIP programme

Kotak Mahindra Bank on Tuesday launched its qualified institutional placement (QIP) programme to raise Rs 7,460 crore (nearly $1 billion). The private sector lender will issue 65 million fresh shares at a floor price of Rs 1,147.75 apiece.

The bank has the discretion to offer up to 5 per cent discount on the floor price to investors participating in the QIP programme. The issue price and the list of investors will be finalised by the bank’s issuance committee of the board on May 29.

The QIP will lead to 3.4 per cent dilution in the bank’s equity base. Following the