State-owned lender Indian Bank has announced plans to raise up to ₹5,000 crore in equity capital through multiple fundraising options, including Qualified Institutional Placement (QIP), Follow-on Public Offer (FPO), Rights Issue, or a combination of these routes.
The bank stated that the proposed capital raise, which includes premium, is aimed at strengthening its capital adequacy and supporting future growth. The move comes at a time when public sector banks are focusing on maintaining strong balance sheets while expanding lending operations amid improving asset quality trends.
The fundraising plan provides flexibility to the bank to choose the most suitable route depending on market conditions. Options such as QIP allow quicker access to institutional investors, while an FPO or Rights Issue could broaden participation among existing and new shareholders.
Indian Bank Q4 Results
Indian Bank reported a steady Q4 FY26 performance with moderate profit growth and improving asset quality.
Net profit rose 4.9% YoY to ₹3,100 crore, while Net Interest Income (NII) grew strongly by 11.29% YoY to ₹7,110 crore. Asset quality improved, with GNPA declining to 1.98% from 2.23% QoQ, while NNPA remained stable at 0.15%.
However, provisions surged sharply to ₹747 crore from ₹315 crore QoQ, marking a 137.14% increase.