Andhra Bank is planning to raise Rs 3,000 crore through various instruments including Qualified Institutional Placements (QIP) in FY'16 as part of meeting its capital requirement. The bank has planned to raise about Rs 700 crore in the form of QIP.
The government has so for provided bank about Rs 378 crore out of the Rs 500 crore in the first tranche. On the basis of the bank's performance the government will provide the remaining Rs 122 crore. The bank will raise remaining Rs 1,800 crore through tier I and tier II (capital) and it will do that during the next six to seven months.
The bank reported 89.27% rise in its net profit at Rs 202.52 crore for the quarter as compared to Rs 107.00 crore for the same quarter in the previous year. Total income of the bank increased by 7.71% at Rs 4529.23 crore for quarter under review as compared to Rs 4205.06 crore for the quarter ended June 30, 2014.
