RBL to mop up  Rs 1,680 crore from PE funds

Source: The Hitavada      Date: 08 Jul 2017 10:06:52


MUMBAI,

July 7,

(PTI),

MID-SIZED private sector lender RBL Bank on Friday said that it will be raising Rs 1,680 crore to augment its capital base for regular lending activities and for potential acquisitions. The bank’s board approved to issue over 3.26 crore shares of Rs 10 face value to a group of 10 investors at a price of Rs 515 per share totalling to Rs 1,680 crore, it said in a statement.

Share sale is subject to standard regulatory approvals and also those from shareholders at the forthcoming annual general meeting on August 4, it said. “The purpose of this capital raise is to augment the bank's tier 1 capital to support the future organic growth of business as well as enabling the bank to capitalise on inorganic opportunities and for other general corporate purpose,” it said.

The investors include ABG Capital, CDC Group Plc, Global Ivy Ventures, HDFC Standard Life Insurance, ICICI Lombard General Insurance, LTR Focus Fund, private equity fund Multiples, Plenty CI Fund and Steadview Capital Mauritius. Bank scrip was trading 0.12 pc up at Rs 525.70 per share on BSE at 1413 hours, as against gains of 0.08 pc in the benchmark.