State-run Bank of Maharashtra Ltd. announced closure of its Qualified Institutional Placement (QIP) issue through which it has raised Rs 1,000 crore. The board approved the allotment of 35.1 crore shares to institutional buyers at its board meeting on Tuesday.
The issue price has been set at Rs 28.5 per equity share, which is a 4.94 percent discount to the floor price of Rs 29.94 per share that was set at the time of the QIP launch on June 1.
This also confirmed a CNBC-TV18 newsbreak that Bank of Maharashtra is looking to raise Rs 1,000 crore through a QIP issue with a base size of Rs 500 crore and a greenshoe option of another Rs 500 crore.
Among institutional bidders who have been allotted more than 5 percent of the shares within the QIP include Life Insurance Corporation of India, which has cornered a lion's share of the issue. India's largest insurer has been allotted 8.34 crore shares or 23.77 percent of the total approved shares within the QIP.
Others who have been assigned shares in excess of 5 percent include Aditya Birla Sun Life Insurance Co. Ltd., Bajaj Allianz General Insurance Co. Ltd., Rajasthan Global Securities Pvt. Ltd., and Societe Generale - ODI.
Shares of Bank of Maharashtra are trading 1.7 percent higher at Rs 30.90. The QIP issue price is also at a 7 percent discount to Tuesday's closing price. The stock is flat on a year-to-date basis, but has nearly risen 80 percent over the last 12 months.
First Published: Jun 7, 2023 6:39 AM IST
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