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Bank of India raises Rs2,550 cr through QIP

31 Aug , 2021   By : Kanchan Joshi


Bank of India raises Rs2,550 cr through QIP

Mumbai: State-owned lender Bank of India on Tuesday said it has closed its qualified institutional placement (QIP), raising Rs2,550 crore.


“The capital issue committee at its meeting held on August 31, 2021 has approved the issue and allotment of 40,54,71,866 equity shares to eligible qualified institutional buyers (QIBs) at an issue price of Rs62.89 per share, aggregating to Rs2,550.01 crore," Bank of India said in a regulatory filing.


The issue had opened on 25 August and closed on 30 August. The bank had targeted to raise up to Rs3,000 crore equity capital through this issue.


Life Insurance Corp of India (LIC), ICICI Prudential Life Insurance Company and Bajaj Allianz Life Insurance Company are the three investors which subscribed to more than 5% of the equity offered in the qualified institutional placement issue.


With this QIP, government shareholding in the bank has come down to 82.50% from 90.34?rlier.


"Pursuant to the allotment of equity shares in the issue, the paid-up equity share capital of the bank stands increased from Rs3,698.09 crore to Rs4,103.57 crore comprising of 410,35,66,070 number of equity shares," the state-owned lender said.


On Tuesday, shares of Bank of India closed at Rs66.40 on the BSE, down 2.4% from their previous close.


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