On receipt of allotment money of Rs 1,589.90 crore from LIC, the bank has allotted 15.8 million (1,58,40,607) shares of the face value of Rs 10 each at a premium of Rs 993.69 to the insurer on preferential basis, the bank said in a filing to the Bombay Stock Exchange (BSE).
PNB is in the process of issuing up to 12.8 million shares to the government, which holds 58% in the bank.
Last year, PNB got a capital infusion of Rs 184 crore from the government.
In 2010-11, the government provided capital support to the tune of Rs 20,157 crore to public sector banks.
The state-owned Life Insurance Corporation (LIC) has pumped in Rs 2,137 crore in four public sector banks through the preference share route.