IDBI Bank said Tuesday that it had obtained shareholder approval to raise up to 11 billion rupees by issuing shares through modes.
The resolution taken at the bank’s annual general meeting held on 17 August 2020, through audiovisual channels.
The AGM (represented through shareholders) allowed the settlement of the issuance of shares for a total of Rs 11,000 crore (adding the amount of the premium) through issuance modes, adding QIP (placement of qualified institutions), said the personal sector lender backed through LIC in a regulatory filing.
Other resolutions at the AGM included the re-election of Rajesh Kandwal as rotation director as a candidate for LIC, which has proposed a new mandate, IDBI Bank said.
In addition, shareholders agreed to appoint Meera Swarup and Anshuman Sharma as rotating administrators in their tenure as government-appointed administrators for the board, he added.
LIC held 51% of IDBI Bank’s shares as of June 30, 2020, while the government’s share was 47.11%, according to BSE data.
Originally a public sector lender, IDBI Bank a personal sector company after LIC acquired a 51% stake in January 2019.
Insurance giant LIC is 100 percent owned by the government.
IDBI Bank stated that the Executive Director and the Executive Director responded to questions posed through shareholders about issues at the General Shareholders’ Meeting, provided an explanation and also took note of the boards they had made.
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