The board of State Bank
of India (SBI) on Wednesday gave a nod for raising equity capital up to Rs 15,000 crore in the next financial year to shore up capital adequacy. The approval is given to raise equity capital through routes like follow-on public offering (FPO), rights offering, overseas placement and employee stock options, SBI
informed the BSE.
executive said nod from the board is an enabling provision. The bank
would raise capital from the market at an opportune time, subject to approval from government of India, its majority owner, and banking regulator Reserve Bank
The capital adequacy ratio stood at 13.73 per cent, with tier I at 10.65 per cent on December 31, 2016. SBI
has strong capital base to support growth.