Union Bank of India on Tuesday announced that its board has approved a capital raising plan of up to ₹8,000 crore through a mix of equity issuance and Basel III-compliant bonds.
According to the bank’s exchange filing, the approved plan includes raising up to ₹3,000 crore via equity instruments in one or more tranches. The lender may utilise routes such as a Further Public Offer (FPO), Rights Issue, Qualified Institutional Placement (QIP), preferential allotment, private placement, or other permissible methods, subject to regulatory and shareholder approvals.
The board has also cleared the issuance of Basel III-compliant Additional Tier 1 (AT1) and Tier 2 bonds aggregating up to ₹5,000 crore. The proposed bond issuance may also include foreign currency-denominated instruments within the approved overall fundraising limit.
The public sector bank said the fundraising exercise is intended to support business expansion, maintain adequate capital buffers and meet regulatory capital requirements.
The development was announced following the board meeting held on May 26, 2026. The meeting commenced at 11:00 AM and concluded at 2:00 PM.
Disclaimer: This article is based on company filings and publicly available disclosures. Investors are advised to consult certified financial advisors before making investment decisions.