IFC Stake In Federal Bank Rises To 7.32% After Preferential Issue
Federal Bank has raised Rs 958.74 crore through issue of preferential issue to IFC.
International Finance Corp. has completed the acquisition of an additional 7.26 crore shares, or 3% stake, in private lender Federal Bank Ltd. via preferential issue.
Following the acquisition, IFC's total shareholding in the bank stands at 7.32%, according to an exchange filing on Friday.
The Federal Bank's board approved the allotment of shares to IFC, IFC Financial Institutions Growth Fund LP, and IFC Emerging Asia Fund LP on Oct. 11, at an issue price of Rs 131.91 per share.
Through this issue, the lender has raised Rs 958.74 crore.
After the allotment of equity shares, IFC, IFC Financial Institutions Growth Fund, and IFC Emerging Asia Fund own 3.86%, 1.73%, and 1.73% stakes, respectively.
The bank's total deposits rose 23% year-on-year to Rs 2.33 lakh crore in the quarter ended September, according to the provisional numbers. Gross advances increased 20% year-on-year to 1.96 lakh crore over the same period.
Retail credit books grew 22% year-on-year, and wholesale credit books were up 17% year-on-year.
The CASA deposits rose 5% year-on-year to Rs 72,592 crore. With this, the CASA ratio for the quarter ending Sept. 30 stood at 31.17%, down 68 basis points from the previous quarter.
Shares of Federal Bank closed 0.07% higher at Rs 149.50 apiece before the announcement on Friday. This compares to a 0.19% decline in the S&P BSE Sensex.
