The Government has decided to infuse capital worth Rs 140 crore via issue of preferential shares in the State-owned lender Punjab & Sind Bank by the end of next month.
The bank has proposed preferential allotment of 1.98 crore shares to the Government for Rs 70.66 a share including premium of Rs 60.66 per unit aggregating about Rs 140 crore.
Post capital infusion, the Government holding in the bank will go up to 79.86 per cent against the existing 78.16 per cent. With the issuance of about 1.98 crore preference shares, the total number of shares with Government will go up to about 20.28 crore.
Punjab & Sind Bank, which is a GoI undertaking, is one of the six banks nationalized by the GoI in April 1980, and today, is one of 19 nationalized banks in India. In over 100 years of operation, the Bank has significantly grown its branch network with a presence predominantly in north India.
