PNB Board approves plan to raise Rs 10,000 cr

In a regulatory filing, the bank said that it will seek shareholders' approval for raising of equity capital for an amount up to Rs 7,000 crore in the forthcoming Annual General Meeting (AGM).

It said that board has approved "raising of capital through issue of equity shares and Basel III Compliant Tier 2 Bonds by way of Private Placement, Qualified Institutions Placement, Further Public Offer, Rights Issue or any other mode or through a combination thereof up to an amount of Rs 10,000 crore and seeking approval of the shareholders for raising of equity capital for an amount up to Rs 7,000 crore in the forthcoming AGM".

The board on Thursday also approved the appropriation of accumulated losses of Rs 28,707.92 crore from the Share Premium Account of the amalgamated bank (PNB) and seeking approval of the shareholders in the forthcoming AGM for the same. The state-run bank will hold its 19th AGM on August 4, through video conference.