Union Bank of India’s board of directors on Wednesday approved fund raising, including via equity and bonds, of up to ₹9,700 crore.
Within the overall limit of ₹9,700 crore, the public sector bank is planning to raise up to ₹3,500 crore via equity and up to ₹6,200 crore via bonds (Additional Tier 1 and/or Tier 2), according to a regulatory filing.
The raising of equity capital will be through one or more routes, including follow-on public offer, rights issue, private placement (including Qualified Institutions Placement) and preferential allotment to the Government of India and/or other institutions, as per the filing.
The bank will be obtaining shareholders’ approval for the capital plan at the 19th Annual General Meeting (AGM) on August 10.