RBL Bank to raise up to ₹6,500 crore through debt & equity

28 Jun 2024 , 01:14 PM

On Thursday (June 27), private sector lender RBL Bank announced that its board of directors has approved plans to raise capital through both equity and debt instruments. The board approved raising up to ₹3,500 Crore through a Qualified Institutions Placement (QIP) by issuing equity shares. This fundraising will take place in one or more tranches, and it will account for up to 15% of the bank’s post-issue paid-up equity share capital.

The plan requires shareholder approval as well as regulatory and statutory clearances.

The board has approved the issue of debt instruments up to ₹3,000 Crore through private placement. The issuance will also comply with the applicable SEBI Listing Regulations and will require shareholder and regulatory clearance.

Issue of debt securities, in one or more tranches, on a private placement basis, from time to time, aggregating to ₹3,000 Crore, pursuant to Section 42 and other applicable provisions of the Companies Act, 2013, applicable SEBI Listing Regulations and subject to the approval of the Members and such Regulatory / Statutory approvals as may be applicable, stated the bank.

RBL Bank, formerly Ratnakar Bank Limited, is a private sector Indian bank located in Mumbai that was founded in 1943. It provides services in five categories: corporate banking, commercial banking, branch banking and retail liabilities, retail assets, and treasury and financial market operations.

At around 1.06 PM, RBL Bank was trading 0.62% higher at ₹264.60, against the previous close of ₹262.96 on NSE. The counter touched an intraday high and low of ₹270.39, and ₹263.06, respectively.

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