Vysya Promoters Pie To Dip To 22.42%

The promoters' holding in the private sector Vysya Bank is expected to reduce to 22.42 per cent from 25.62 per cent once the board approves the 10 per cent stake which International Finance Corporation (IFC) has decided to pick up in the bank.

According to sources in the bank, the public holding will also come down to 34.84 per cent from 39.82 per cent, while that of Banque Bruxelles Lambert (BBL), which plans to pick up a 2 per cent stake, will remain at 20 per cent.

The holding of mutual funds and financial institutions will reduce to 12.74 per cent from 14.56 per cent.

 

Last week, Vysya Bank announced that IFC an affiliate of the World Bank, has decided to pick up a 10 per cent stake in Vysya Bank. IFC is expected to pick up the 10 per cent stake at a price of Rs 150 per share which includes a premium of Rs 140 per share.

By implementing these proposals, the share capital of the Vysya Bank would increase to Rs 22.66 crore from Rs 19.82 crore and would further result in an inflow of Rs 39.66 crore by way of share premium adding to the reserves of the bank.

The strategic alliance partner of the bank, Bank Brussels Lambert (BBL) is also planning to increase its stake in the bank by 2.5 per cent to enable it to maintain its holding at 20 per cent of the post-issue capital of the bank at the same price at which the shares are proposed to be subscribed by IFC.

The bank posted a net profit of Rs 44.31 crore during 1999-2000, recording an increase of 46 per cent over the previous year.