On May 13, 2021, Indian Overseas Bank (IOB) obtained approval from its shareholders through an Extraordinary General Meeting (EGM) for the issuance of 246,54,23,932 equity shares to the Government of India (GoI) on a preferential basis for a capital infusion of Rs 4,100 crores by GoI in the bank.
Key Points:
i.After the capital infusion, the GoI’s shareholding in IOB increased from 95.84 percent to 96.38 percent.
ii.Out of Rs 4,100 crore an amount of Rs 2,465.42 crore will be credited to the share capital account and Rs 1,634.58 crore will be credited to the share premium account.
iii.The issue price of the equity share was Rs 16.63 per share (including a share premium of Rs 6.63 per share).
iv.The EGM was virtually attended by directors, shareholders and other stakeholders of the bank.
Background:
On March 31, 2021, GOI has infused Rs 14,500 crore ($1.98 billion) in 4 weak Public Sector Banks (PSBs) under Zero-Coupon Recapitalisation Bonds with maturities between March 31, 2031, and March 31, 2036. Out of the 4 banks, IOB was provided with 4,100 crores. Click here to know more
Recent Related News:
On March 24, 2021, Indian Overseas Bank (IOB) launched a savings account named ‘IOB Trendy’ which is customised for the millennial population of the country to meet their banking preferences.
About Indian Overseas Bank (IOB):
Establishment – 10th February 1937
Headquarters – Chennai, Tamil Nadu
Tagline – Good people to grow with
MD&CEO -Shri Partha Pratim Sengupta
