Karnataka Bank approves issue of 2.64 crore equity shares to eligible qualified institutional buyers

Karnataka Bank Ltd has approved the issue and allotment of 2,64,31,718 equity shares to 25 eligible qualified institutional buyers.

• Also read: Karnataka Bank opens 15 new branches, revamps website

The bank informed the stock exchanges on Thursday that the meeting of the committee of directors of the bank approved the issue of shares at issue price of ₹227 per equity share, that is at a premium of ₹217 per equity share. This includes a discount of ₹4.43 per equity share (1.91 per cent of the floor price) to the floor price, aggregating to ₹599,99,99,986, pursuant to the issue.

The issue, which opened on March 21, closed on March 27.

Pursuant to the allotment of equity shares in the issue, the paid-up equity share capital of the bank stands increased from ₹3,50,81,82,400 consisting of 35,08,18,240 equity shares of ₹10 each to ₹3,77,24,99,580 consisting of 37,72,49,958 equity shares of ₹10 each.

• Also read: Karnataka Bank to complete ₹1,500 cr capital raise this fiscal

The bank informed the stock exchanges that the shareholding pattern of the bank, before and after the issue, will be submitted, along with the listing application, in due course.

The bank gave the list of allottees who have been allotted more than 5 per cent of the equity shares offered in the issue. These allottees included HSBC Mutual Fund (25 per cent of allotment of the issue size), SBI Life Insurance Company Ltd (12.5 per cent), Franklin India Smaller Companies Fund (12.5 per cent), and Max Life Insurance Company (8.33 per cent) under the domestic institutional investors category; and Morgan Stanley Asia Singapore PTE (7.67 per cent) and HSBC Global Investment Funds (5.5 per cent) under the foreign institutional investors category.

COMMENT NOW