PNB to get Rs 1,284 crore capital infusion from govt

Punjab National Bank (PNB) has approved a fund infusion to the tune of 1,285 crore through preferential issue of shares to the government. The board in its meeting approved issuance of shares of face value of Rs 10 each on preferential basis in favour of Government of India, aggregating to Rs 1,285 crore, subject to necessary approvals. The capital infusion would raise government's stake in the bank. At present, the Government of India holds 58 per cent stake in PNB. Last year, PNB got a capital infusion of Rs 184 crore from the government. In 2010-11, the government provided capital support to the tune of Rs 20,157 crore to public sector banks.