IDBI Bank seeks shareholders' nod for raising Rs 11,000 cr in share capital

Proceeds will be used to strengthen the lender's Capital Adequacy Ratio; bank to hold AGM on August 17 exclusively via video conferencing, other audio-visual means

Private lender IDBI Bank is seeking approval from its shareholders to raise equity capital up to Rs 11,000 crore in a bid to enhance capacity to grow its business and create buffers to absorb shocks.

There is a need to increase the capital to further strengthen capital adequacy ratio (CAR), due to the ongoing implementation of BASEL-III norms and consequential capital charge, the bank said in notice to shareholders. The lender is holding its annual general meeting on August 17, exclusively through video conferencing (VC) and other audio-visual means. Its stock closed the trading session 1.9 per cent higher at Rs