Andhra Pradesh Grameena Vikas Bank to raise up to Rs 800 crore

SBI indicated that it plans to list two RRBs sponsored by it in the next one year

Andhra Pradesh Grameena Vikas Bank (APGVB), a regional rural bank sponsored by State Bank of India, is looking to raise Rs 600-800 crore by issuing fresh equity shares through an Initial Public Offer (IPO).  

V Narasa Reddy, chairman, APGVB, said the bank was comfortable on the capital front, with a capital adequacy ratio (CAR) of 14 per cent but it would need extra capital to support growth plans over the next five years.

The lender would like to expand the branch network and asset book as well as make investments to upgrade technology. Besides retained earnings, it would need injection of