Canara Bank to raise Rs 1,128 crore via rights issue

Canara Bank is planning to raise additional equity share capital not exceeding Rs 1,128 crore, including premium, by way of rights issue. The Government of India’s contribution in the rights issue will be Rs 748 crore, while that of public shareholders will be Rs 380 crore.

Further, the bank is planning to issue senior unsecured bonds in foreign currency of about $500 million in the international market under its $2 billion medium term note programme. This bond issue is for providing funds to the bank’s overseas branches.

Canara Bank is an Indian state-owned bank headquartered in Bangalore, in Karnataka. It was established at Mangalore in 1906, making it one of the oldest banks in the country.