Federal Bank Launches Rs. 2,000 Crore Share Sale To Institutions

Federal Bank Launches Rs 2,000 Crore Share Sale To Institutions

Mumbai: Private sector lender Federal Bank Ltd has launched a share sale to raise Rs. 2,000 crore, with an option to increase the amount by Rs. 500 crore, according to a deal term sheet.

Federal Bank said in a regulatory filing on Wednesday it had launched a so-called qualified institutions placement of shares but did not give details.

The bank is selling new shares in a price range of Rs. 111.50 to 116.70, equivalent to a 4.5 percent discount to the stock’s close on Wednesday at the bottom of the range.
Citi, Deutsche Bank, IIFL Holdings and Kotak Mahindra Capital are the banks on the deal.