Indian Overseas Bank plans to raise USD 500mn through MTN

Public sector Indian Overseas Bank plans to raise funds of about $500 million through Medium Term Notes (MTN) this year, a senior bank official said.

"We are looking at raising USD 500 million in the current year through MTN. We have already appointed merchant banker for the same and waiting for conducive market conditions," IOB Chairman and Managing Director M Narendra told reporters here.
The bank raised USD 500 million last year for our overseas operations, Narendra said, adding that the issue was oversubscribed by four times. The bank hopes to achieve 20% topline growth in FY13. The bank planned to achieve total business of Rs 4,00,000 crore in FY13 from Rs 3,85,000 lakh crore, Narendra said.
The bank will focus on retail, SME and agriculture sector in the current year, he said. The Bank reported a net profit of Rs 528.81 crore for the fourth quarter ended March 31, 2012, up from Rs 434.29 crore in the same period in the previous year.
Total income grew to Rs 5,415.09 crore in Q4FY12 as compared to Rs 3,916.58 crore in the same period last year. Net interest income rose to Rs 1,340.58 crore (Rs 1,215.28 crore). Interest on advances stood at Rs 3,740.56 crore (Rs 2,615,64 crore).
During FY12, gross NPA stood at Rs 3,920.07 crore as against Rs 3,089.59 crore in FY11 with gross NPA ratio of 2.74% and 2.72% respectively. Net NPA in FY12 stood at Rs 1907.44 crore in FY12 as against Rs 1328.42 crore in FY11.