Choosing to grow predominantly through branches and automatic teller machines (ATMs), IDBI Bank on Wednesday said it was not looking at inorganic (through acquisitions) growth opportunities to scale up its presence and business.
There was no bank on the radar as of now, said Chairman and Managing Director R M Malla on Wednesday.
Earlier this year, the bank’s then chairman, Yogesh Agarwal, had said the bank was mulling acquisition of another bank in the private sector.
The bank will open 250 new branches in the next one year and aims to have 1,500-2,000 branches in the next three years.
It also aims to have 4,000- 5000 ATMs and 100,000 point of sales (PoS) terminals in the next three years.
As on June 30, the bank had a network of 722 branches and 1,228 ATMs.
It would focus more on lending to the small and medium enterprises, he said. The loans to micro and small enterprises, along with growth in the home loan portfolio after the merger of its home-finance subsidiary, would help improve its share of priority sector lending.
Malla said the bank would consider tapping the equity market for funds over the next 12-18 months.
Another IDBI official said it could look at a follow-on-public offer or a rights issue in the January-March quarter of 2010-11 or in 2011-12. The government’s stake in the bank rose to 65 per cent after it infused Rs 3,100 crore equity in the first quarter. This has provided the bank an additional headroom to tap the market for funds.
