South Indian Bank to raise Rs 7 bn via QIP to fund its 20% growth target

Lender may look at diluting 10-12%, will focus more on retail, agriculture and MSME (RAM) and reduce dependence on its corporate book

Kerala-based South Indian Bank (SIB) is planning to raise Rs seven billion through Qualified Institutional Placements (QIP) to support its 20 per cent growth target.

The bank's Managing Director & CEO, V G Mathew, told Business Standard that the lender may look at diluting 10-12 per cent to raise around Rs 6-7 billion through the QIP route.

"We will be looking at raising capital this year itself to support our growth," said Mathew.

The bank, whose base is currently at around Rs 550 billion, is confident on growing at around 20 per cent, while its desire is to grow at around 25 per