Centurion BoP to raise Rs 5 bn via QIP
Centurion BoP to raise Rs 5 bn via QIP Centurion Bank of Punjab (CBoP) is raising around Rs 5 bn via qualified institutional placement (QIP), reports Business Standard. The bank will issue 122.6 million shares of Rs 1.00 each, at an issue price of Rs 40.75 a share, aggregating to Rs 4.99 billion. The issue price is above the floor price of Rs 40.34 a share. >The global joint coordinators to this issue were Kotak Mahindra Capital, Deutsche Equities India and SSKI Corporate Finance. The bid closing date pursuant to the proposed placement of equity shares of the bank was Sep. 20, 2007. At the end of the June 2007, the capital adequacy ratio was 10.97%. The idea behind raising funds is backing the bank`s expansion plans. The bank is eager about growth plans after the merger of Lord Krishna Bank with the bank. The bank is also looking at entering the business of pension fund management and intends to create a su bsidiary for the purpose. In January 2007, the bank had raised around Rs 1.84 billion through a preferential allotment to India Advantage Fund V through its trustee, the Western India Trustee and Executor; and acting through its investment manager, ICICI Venture Funds Management.
Shares of the company closed down Rs 0.6, or 1.39%, at Rs 42.50. The total volume of shares traded at the BSE was 3,094,616. (Friday)
