City Union Bank today announced that the bank has received board approval to raise ₹500 crores via qualified institutional placement (QIP). City Union Bank made this announcement along with its Q1FY25 results. The bank in its statement stated that the bank had received the nod to raise funds via QIP last year as well, but the bank did not raise any funds during the period.
“Board has inter-alia approved the agenda for Raising further capital through QIP route to the tune of Rs 500 crore (including premium) for inclusion in the Notice as an enabling resolution, calling the forthcoming Annual General Meeting of the Bank for approval by members as a special resolution.
As done in previous years, this year also we are seeking the approval of shareholders by way of enabling resolution. It may be recalled that last year also we obtained the approval of shareholders for raising capital through QIP but we have not utilized the same,” the bank said, in an exchange filing.