South Indian Bank Ltd witnessed a 3% surge in early trade today following the announcement by the private sector lender that its board has approved a fund-raising endeavor of Rs 1,750 crore. The funds will be generated through the issuance of equity shares of the bank on a rights basis to its existing eligible shareholders.
The intraday performance saw South Indian Bank stock reaching a high of Rs 27.45, marking a 2.88% increase from the previous close of Rs 26.68 on the BSE. Opening higher at Rs 27.19 on the BSE, the stock garnered notable attention with 15.52 lakh shares changing hands, resulting in a turnover of Rs 4.22 crore. The bank’s market cap stood at Rs 5679.70 crore on the BSE.
With a beta of 1, South Indian Bank shares indicate average volatility over the course of a year. In terms of technicals, the relative strength index (RSI) for the stock is at 55.2, signaling a neutral position without being overbought or oversold. The shares are trading above the 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, and 200-day moving averages.
On December 27, the bank officially communicated the board’s approval, stating, “The Board of Directors of the Bank at their meeting held on December 27, 2023, has inter-alia approved the proposal for fund raising for an amount not exceeding Rs. 1,750.00 Crores by way of issue of Equity Shares of the Bank on a right basis to its existing eligible shareholders.”
As of 12:47 pm, South Indian Bank shares were trading 0.56% higher at ₹26.80.
