The bank plans to raise about Rs 100 crore via preferential route, for which it has RBI approval. It will raise the first tranche of about Rs 37.75 crore in the next 10 days. The balance will be raised in another 30 days.
Dhanlaxmi Bank plans to raise Rs 100 crore through preferential route, of which first tranche of about Rs 37.75 crore will be raised in the next 10 days and the balance will be raised in another 30 days, says MD & CEO, PG Jayakumar.
The bank plans to raise around Rs 300 crore, and expect capital adequacy to go up to 12.5 to 13 percent by the end of the year, he adds.
Below is the verbatim transcript of PG Jayakumar's interview on CNBC-TV18
Q: You have plans to raise some funds via qualified institutional placement (QIP), if you could take us through that?
A: We are planning to raise about Rs 100 crore through preferential route, for which we have the approval of the Reserve Bank of India (RBI), out of that the first tranche about Rs 37.75 crore, we are raising in the next ten days time. The balance we will raise in another 30 days time.
Q: By the end of this fiscal year how much money would you have raised and where would the capital adequacy stand at?
A: Our capital adequacy ratio (CAR) as of June is 11.70 percent.
Q: Where will that go to after you finish the fund raising?
A: It will go to 12.5 percent. Actually, this year we have a capital raising plan to the extent of Rs 300 crore altogether we expect our capital adequacy to go up to 12.5 to 13 percent by the end of the year.