Government To Infuse Rs 740 crore to Syndicate Bank

Indian Government To Infuse Rs 740 crore to Syndicate Bank, A State-run banks who is issuing shares to the government on a preferential basis to raise a total Rs 740 crore.

Syndicate Bank in a filing to the BSE today said that it will raise Rs 740 crore by issuing preferential shares to the government.

[box type=”note” align=”aligncenter” ]”The Board of Directors of the Bank at its meeting to be held on March 31, 2016, considered the proposal for issue of equity shares to Government of India on preferential basis against their proposal for capital infusion of Rs 740 crore”, Syndicate Bank said in the filing.[/box]

Shares of Syndicate Bank closed at Rs 63.65, down 1.77 per cent. This is the next step of the government’s Rs 25,000 crore capitalization plan earmarked for the current fiscal.

Read : [highlight]Syndicate Bank Profit Bleeds[/highlight]

Parliament has approved Rs 5,050 crore capital infusion plan for recapitalization of public sector banks. Other Public Sector Bank contenders for the fresh round of infusion include UCO bank, Central Bank of India, Indian Bank, Oriental Bank of Commerce, Vijaya Bank and United Bank of India.

UCO bank already be given clearance of Rs 935 Crore capital infusion before 31st March this year.

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