Karur Vysya Bank to Raise Rs 1200 Crore from Stock Markets

Private sector lender Karur Vysya Bank said it plans to raise up to Rs 1,200 crore through a mix of equity and debt.

In a regulatory filing, the bank said its board has approved the proposal for domestic fund raising by way of issuance of Basel III complaint unsecured tier 1 and 2 capital instruments on "private placement basis/preferential allotment/qualified institutional placement up to Rs 1,200 crore."

Banking stocks are expected to attract attention of investors this week. On such outset, this news from Karur Vysya Bank is going to create a high level

The proposal involves raising the fund in single or multiple tranches.

"Fund raising by way of Basel III complaint unsecured tier 1 and 2 capital instruments issuance shall be subject to approval of shareholders, regulatory/statutory approvals, as may be required," the bank added.

The bank's shares closed at Rs 104.85 a piece on BSE, down 0.94 per cent.