PNB shines on raising Rs 1,250 crore via preferential issue of shares to the government

Punjab National Bank | Bank - Public | BFSI | BSE: 532461 | NSE: PNB

18 Jan 2013 Evaluate

Punjab National Bank is currently trading at Rs 897.00, up by 6.40 points or 0.72% from its previous closing of Rs. 890.60 on the BSE.

The scrip opened at Rs. 900.95 and has touched a high and low of Rs 903.65 and Rs 889.00 respectively. So far 16958 shares were traded on the counter.

The BSE group 'A' stock of face value Rs 10 has touched a 52 week high of Rs 1091.00 on 17-Feb-2012 and a 52 week low of Rs. 659.00 on 30-Aug-2012.

Last one week high and low of the scrip stood at Rs 911.85 and Rs 872.40 respectively. The current market cap of the company is Rs 30543.04 crore.

The promoters holding in the company stood at 56.10% while Institutions and Non-Institutions held 37.78% and 6.13% respectively.

State-owned Punjab National Bank (PNB) has approved to raise Rs 1,250 crore through issuance of shares of face value of Rs 10 each on preferential basis in favour of Government of India.

The proposed preferential allotment will be subject to necessary approvals and the price for issue would be decided by as per market regulator Securities and Exchange Board of India (SEBI) rules. The bank will hold an extraordinary general meeting of shareholders on March 4 to take up approval for the same.

Earlier this month, the government approved infusion of Rs 12,517 crore in around 10 state-owned banks over the next three months. Last year, PNB got capital infusion of Rs 1,285 crore from the government.