State Bank of India is likely to launch Rs 25,000-crore QIP as early as July 16, reported CNBC-Awaaz citing sources.
Life Insurance Corporation of India is likely to be anchor investor with Rs 7,000-crore bid, the channel reported.
The pricing of the Qualified Institutional Placement is likely to be Rs 790-800 per share.
At 9:57 am on July 16, SBI shares were trading 0.3% higher at Rs 820.4 apiece. SBI is yet to comment.
The likely QIP is part of SBI’s broader plans to support loan growth, strengthen its balance sheet and meet regulatory requirements. It’s also the first time since 2017 that the lender, majority owned by the government, tapped the equity market.
SBI has shortlisted six investment banks to manage the transaction, including the Indian arms of Citigroup Inc. and HSBC Holdings Plc, as well as ICICI Securities Ltd., Kotak Investment Banking, Morgan Stanley, and SBI Capital Markets Ltd., Bloomberg News reported earlier.
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