According to a recent press report Indian bank, a major Indian Commercial Bank has planned to raise Rs 4,500 crore in order to expand its overseas lending. The bank has decided to list the bond issue on the Singapore stock exchange and has decided to raise funds through medium-term notes in two or three tranches (different “classes” of notes, each identified by letter, for example: the Class A, Class B, Class C securities, with different bond credit ratings).
The total business of the bank recorded a growth of 20 per cent at Rs 1.8 lakh crore for the fiscal year ended March 31 with advances of Rs 75,726 crore and deposits of Rs 1.05 lakh crore. The bank has shown good improvements over its net worth; the net worth has grown up to Rs 8,327 crore from Rs 7,047 crore. The bank has a portfolio of over 42 loan products ranging from regular Home loan and car loan to NRI plot loans and agriculture produce marketing loan.
Mr. T.M. Bhasin, Chairman and Managing Director, Indian Bank said that the bank’s proposal for a follow-on public offer in July is expected to raise Rs 1,500 crore, by diluting 10 per cent stake. He added saying that the bank’s proposal for follow-on public offer is under process.