Govt to infuse Rs4600 crore in Punjab -; Sind Bank; Stock gains

15 Feb 2022 , 01:17 PM

Government of India will infuse Rs4600 crore in Punjab & Sind Bank towards the contribution of the Central Government in the preferential allotment of equity shares of the Bank during the Financial year 2021-22.

“Bank is in receipt of the letter on February 14, 2022, from Ministry of Finance, Department of Financial Services regarding the sanction of the President of India to infuse an amount of Rs4600 crore in the Bank towards the contribution of the Central Government in the Preferential Allotment of Equity Shares of the Bank during the Financial year 2021-22,” company said in a filing on Monday.

At around 1.20 pm, Punjab & Sind Bank was trading at Rs15.90 per share up by Rs0.25 or 1.6% from its previous closing of Rs15.65 per share on the BSE.

The Bank last week reported a net profit of Rs301 crore for the quarter ended December 2021 on healthy growth in core income and fall in provisioning requirement. The lender had posted a net loss of Rs2,376 crore in the same quarter a year ago. Sequentially, the net profit was up by 38.1% from Rs218 crore in the quarter ended September 2021.

Total income rose to Rs2,042.03 crore, as against Rs1,973.78 crore in Q3FY21, Net interest income was up by 23.1% to Rs758 crore, from Rs616 crore.