Bank of Maharashtra plans to raise funds

Bank of Maharashtra is planning to raise funds from the market, its Chairman and Managing Director Allen C A Pereira said today.     

The funds will be either in the form of a follow-on public offer, qualified institutional placement (QIP) or perpetual preference share issue, Pereira told reporters here.     

He said that the bank was awaiting the right market conditions to raise funds.     

Speaking at the FICCI Banking Conclave 2009, Pereira said the bank had approached the government for providing Rs 500 crore per year for the next three years.     

He said that government holding in the bank is 76 per cent, which could go down to 51 per cent.     

For the current fiscal, he said that the bank is eyeing credit growth of 20 per cent and deposit growth of 18 per cent.     

He said that the bank is targeting gross NPAs of two per cent for the fiscal and net interest margin of 2.7 per cent.