Indian Bank plans to up revenue from fee-based income

Indian Bank today said it plans to increase revenue contribution from fee-based and non-interest income from current 11% to 13% by the fiscal-end and to 15% in the next two years.

The state-owned lender is active in syndication activities and has syndicated over 14 projects so far, earning a fee of Rs 15 crore, Indian Bank Chairman and Managing Director T M Bhasin said.

"We are negotiating for 7-8 new projects, whose total investment size is Rs 3,500-4,000 crore," he said on the sidelines of a function related to the syndicated project with city-based Kamineni Steel.

A clutch of banks led by Indian Bank have invested Rs 1,248 crore in Kamineni Steel and Power India to facilitate backward integration to manufacture steel billets with an annual production of 3,60,000 tonnes.

 

The company also plans to set up a captive gas-based power plant with a generation capacity of 220 MW. The plant is proposed to cater to the requirements of the Kamineni Group's industrial units at Narkatpally, around 80 km from here.

Of the total project cost of Rs 1,535 crore, the debt syndication of nine banks, led by Indian Bank with Rs 300 crore, will be to the tune of Rs 1,248 crore.