You are here: Home » Finance » News » Others
Business Standard

City Union Bank to require Rs 3,000 cr by 2014

BS Reporter  |  Chennai 

City Union Bank (CUB) has said it would require Rs 3,000 crore by 2014, to support its target of achieving a three-fold increase in its business.

"The bank's current capital is Rs 1,000 crore and Rs 1,000 crore from the profit will be pumped back. The remaining Rs 1,000 crore will be raised though rights issue or QIP," said N Kamakodi, managing director and chief executive officer, CUB.

It is planning to seek its shareholders' approval to raise Rs 300 crore through QIP at the upcoming AGM, scheduled in August.

The bank has been growing at five-six per cent over the years, and this year, it expected to grow at around 25 per cent, he added. Its total business has crossed Rs 12,000 crore.

Kumbakonam-based CUB, one of the oldest private sector bank in the country, reported a 32 per cent increase in its net profit to Rs 58.51 crore for the quarter ended June 2011, as compared with Rs 44.37 crore in the corresponding quarter last year.

The bank's total income has increased 39.30 per cent to Rs 417.02 crore for the quarter, from Rs 299.34 crore compared with the same quarter last year. It is planning to add 41 branches to its existing 259 branches by March 2012.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, August 01 2011. 00:58 IST
RECOMMENDED FOR YOU
.