United Bank of India (UBI) has received shareholders’ approval to raise nearly Rs 1,000 crore, either by qualified institutional placement (QIP), public or rights issue. Further, the bank is expecting a fund infusion of Rs 500-600 crore from the government this financial year. The infusion will help the bank to maintain the capital adequacy norms as spelt out by Basel-III norms. Last year, the bank got a fund infusion of about Rs 480 crore from central government.
This financial year, the bank is expecting around 12% growth in credit and deposit, with retail as its focus area, while reducing its exposure to the corporate sector. The bank will focus on housing, education and vehicle loan segments. The lender is targeting business of Rs 2 lakh crore by March 2017. At the end of last financial year, the total business of the bank stood at Rs 1,87,813 crore.
UBI is one of the 14 major banks which were nationalized on July 19, 1969. After nationalization, the Bank expanded its branch network in a big way and actively participated in the developmental activities, particularly in the rural and semi-urban areas in conformity with the objectives of nationalization.
| Company Name | CMP |
|---|---|
| SBI | 1080.35 |
| PNB | 114.50 |
| Canara Bank | 142.35 |
| Bank Of Baroda | 280.00 |
| Union Bank Of India | 188.90 |
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