IDBI Bank to raise Rs 11,000 cr through QIP; six merchant bankers appointed

Six merchant bankers appointed; LIC may abstain, but committed to retaining stake at 51% for the next two years

IDBI Bank has appointed six investment banks in the run-up to its mega fundraising exercise in November.

Sized at Rs 11,000 crore, the qualified institutional placement (QIP) will be the bank’s maiden equity raise exercise in over five years, and the first since it came under Life Insurance Corporation of India’s (LIC’s) fold in 2018.

ICICI Securities, Axis Capital, SBI Capital Markets, IIFL Securities, Credit Suisse and IDBI Capital Markets have been enlisted to manage the QIP.

IDBI Bank’s shareholders approved of the QIP on July 15. The QIP could hit the market within weeks of the bank declaring its September quarter results