Allahabad Bank to raise about Rs 15 bn via disinvestment in non-core assets

The bank is also in the process of closing its Hong Kong branch, which would release some capital

Allahabad Bank is expecting to raise about Rs 15 billion this financial year through disinvestment in non-core assets.

This covers sale of a dozen 'surplus' properties, of the entire stake in Universal Sompo General Insurance and by divestment in ASREC, an asset reconstruction company (ARC). The bank expects to raise about Rs 8 bn through sale of the entire 28.52 per cent stake in Universal Sompo and about Rs 7 billion from the 12 properties. And, Rs 300 million from the ASREC stake sale, N K Sahoo, executive director, told Business Standard.

Allahabad Bank has been hit hard by a surge in