PNB plans to raise Rs 500 cr through tier II bonds

Punjab National Bank plans to raise capital worth Rs 500 crore through Upper Tier II Bonds through private placement to shore up capital adequacy.

The public sector banks has retained the option to accept subscription above Rs 500 crore. The issue is slated to open on September 22, 2008 and close on September 28, 2008.

It's capital adequacy ratio stood at 12.96 per cent at the end of June 30, 2008.

The stock closed 1.87 per cent lower at Rs 495.3 on the Bombay Stock Exchange today.