State-owned Syndicate Bank today it plans to raise up to Rs 4,300 crore by way of different instruments, including selling shares, to meet business requirements and comply with global capital adequacy norms.
"...The bank has planned to access capital market for raising capital upto the extent of Rs 1,700 crore by issuing equity shares by way of Qualified Institutional Placement (QIP)/Rights Issue/ Follow on Public Issue or any other mode" in one or more tranches, Syndicate Bank said in a regulatory filing.
Giving details of its annual general meeting, the bank further said it has also plans to raise Basel-III complaint additional tier-I bonds up to Rs 1,000 crore and tier-II bonds up to Rs 1,600 crore.
Syndicate Bank said it needs additional capital in order to cater to its increasingly growing business level in the continually changing business scenario as well as to comply with the Basel-III norms.
Capital adequacy ratio (Basel-III) of the bank stood at 11.61 per cent at March 2016 end as against 10.54 per cent in the year ago period.
Government had infused Rs 740 crore in the bank during 2015-16.
The bank had reported a net loss of Rs 1,643.49 crore for 2015-16 as against a net profit of Rs 1,522.93 crore in the previous financial year.
Interest income of the bank grew by 7.32 per cent from Rs 21,615.16 crore in 2014-15 to Rs 23,197.78 crore in 2015-16.
