After QIP, SBI may raise Rs 1000 cr

Employee stock purchase plan likely option

After mopping up around Rs 8,000 crore through equity offerings to institutional investors, State Bank of India (SBI) plans to raise up to Rs 1,000 crore through an employee stock purchase scheme.

According to a senior executive of the bank, SBI’s board has given the nod to issue equity shares to its employees. The country’s largest lender has raised Rs 8,032 crore from qualified institutional investors (QIPs) by issuing around 51 million equity shares at Rs 1,565 per unit (of face value Rs 10).

On Friday, SBI stock closed at Rs 1,525.60 a share on the BSE. It had closed at Rs 1,517.55 on Thursday. Employees would be given shares at a discounted price. The timing for issuing shares has yet not been decided, he said. On January 2, the government infused Rs 2,000 crore into State Bank  of India through a preferential allotment plan.

After issuing shares to institutional investors, the government holding in the state-run lender will decline to 58.6 per cent.