SBI jumps on plan to raise additional funds to meet loan demand

State Bank Of India | Bank - Public | BFSI | BSE: 500112 | NSE: SBIN

31 Jan 2012 Evaluate

SBI is currently trading at Rs. 2,051.00, up by 60.30 points or 3.03% from its previous closing of Rs. 1,990.70 on the BSE.

The scrip opened at Rs. 2,021.00 and has touched a high and low of Rs. 2,061.00 and Rs. 2,019.00 respectively. So far 304770 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 2,959.90 on 25-Apr-2011 and a 52 week low of Rs. 1,576.00 on 20-Dec-2011.

Last one week high and low of the scrip stood at Rs. 2,083.80 and Rs. 1,978.00 respectively. The current market cap of the company is Rs. 130028.87 crore.

The promoters holding in the company stood at 59.40% while Institutions and Non-Institutions held 26.58% and 11.17% respectively.

State Bank of India (SBI), the country's biggest public sector lender, is likely to raise more funds as it will need beyond the $1.6 billion assured by the government to meet rising demand for loans in an expanding economy. The bank needs around Rs 15,000 crore a year including retained profit.

The government will inject Rs 7,900 crore by buying shares through a preferential allotment. The investment is likely to raise the government's holding by 2-2.25% from 59% currently.

SBI is premier banking institution with 206 years of banking experience. It is India’s largest commercial bank in terms of assets, deposits, profits and number of branches and employees. The bank has 13,686 branches across the country, while the SBI group has 18,506 branches.