Private sector Karur Vysya Bank today decided to raise its foreign investment cap from the current 24 per cent to 35 per cent, besides coming out with rights and bonus issues.
"The board of directors at its meeting held on September 7, 2010, decided to increase the aggregate of foreign investment cap from all sources (FDI/FII/NRI) from the existing limit of 24 per cent to 35 per cent," the Tamil Nadu-based bank said in a filing to the BSE.
The board also decided to issue two bonus shares for every five shares held by shareholders.
Furthermore, the company will execute a rights issue in the ratio of 2:5 (two rights shares for every five shares held by shareholders and beneficial owners).
"The rights issue is on the post bonus capital," the bank said, adding that the price per right share will be Rs 150.
Shares of the bank were down 2.30 per cent at Rs 804.35 on the BSE.
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