Punjab & Sind Bank has made important announcements about its financial plans to increase its capital base and encourage cashless transactions in India.
Approved Floor Price: The bank has approved the floor price of its Qualified Institutional Placement (QIP) at ₹40.38 per equity share.
QIP Fund Raising: Punjab & Sind Bank will raise ₹2,000 crore through the QIP, which will dilute the government's holding in the bank by 3-4%, presently at 98.25%.
Cashless India Initiative: The bank is rolling out a ₹1,500 crore incentive program to encourage low-value transactions through BHIM-UPI, aligning with the government's drive for a cashless economy.
Approved Opening of Issue: The issue through QIP has been approved officially, and merchant bankers and legal advisors have already been appointed.
These efforts are likely to support the bank's capital adequacy ratio and its operational strength.
Source: Business Standard, Times of India, BW Businessworld