RBI nods CBoP's preferential issue

Mumbai, January 04, 2007: Centurion Bank of Punjab today received the approval from the Reserve Bank of India (RBI) for the preferential issue of equity shares to India Advantage Value Fund V, a fund managed by ICICI Venture Funds Management Company Ltd.

The Bank proposes to allot upto 7.5 crore equity shares at a price of Rs. 24.54 per equity share. The issue price has been computed as per the relevant pricing guidelines prescribed by the Securities and Exchange Board of India.

The issue was approved by the shareholders of the Bank at their Extraordinary General Meeting held on September 30, 2006.

About Centurion Bank of Punjab:

Centurion Bank of Punjab is one of the leading new generation private sector banks in India. The bank serves individual consumers, small and medium businesses and large corporations with a full range of financial products and services for investing, lending and advice on financial planning.

It holds leadership positions in the two-wheeler loan and commercial vehicle loan segments, is a strong player in foreign exchange services, personal loans, mortgages, education loans and agricultural loans, and credit cards. Additionally the bank offers a full suite of NRI banking products to overseas Indians. The bank also offers its customers an array of wealth management products such as mutual funds and life and general insurance.

Centurion Bank of Punjab operates on a strong nationwide franchise of 256 branches and 402 ATMs across 128 locations, and has approvals from the Reserve Bank of India to open a further 23 branches before the end of this fiscal year. Centurion Bank of Punjab is supported by over 5,000 employees. In addition to being listed on the major Indian stock exchanges, the Bank's shares are also listed on the Luxembourg Stock Exchange.

Recently Centurion Bank of Punjab has announced a merger with Kochi based Lord Krishna Bank. The banks are awaiting regulatory approval from RBI.