Daijiworld Media Network – Mangalore (SP)
Mangalore, Feb 24: Karnataka Bank Ltd having its headquarters in the city has come out with a rights issue. The bank will issue shares at the rate of 5:2 to the existing shareholders in this issue. Through the rights issue, the bank proposes to issue 5,37,69,935 equity shares with a face of Rs 10 each, at a premium of Rs 75 per share (Rs 85 per share).
A release from the bank said that the bank proposes to pool an amount of Rs 457.04 crore through this issue. The issue will be open from March 8 to March 22.
Karnataka Bank, which has been registering impressive growth, had recorded a net profit of Rs 113.79 crore for the nine-month period ending December 2010. Its point-to-point growth was 22.33 percent. The bank proposes to increase its network of branches to 480, and reach a total turnover of Rs 45,000 crore by the end of this financial year, the release added.