State Bank of India today said its shareholders has approved raising Rs 5,393 crore by issuing preferential shares to the government.
With the issuance of 19.65 crore shares, the government’s holding in the bank will increase from existing 59.15 per cent to 60.18 per cent, SBI said in a statement.
The shareholders’ nod for issuance of preferential shares was received in a meeting held today, it said.
The bank has already fixed issue price of Rs 274.37 per share of face value of Re 1 each.
Shares of SBI closed at Rs 239.15 per unit, down at 0.40 per cent on the BSE today.
Last month, the finance ministry had said that government would infuse Rs 20,088 crore into 13 PSU banks within a month’s time.
Besides, Andhra Bank also obtained approval of shareholders for raising Rs 378 crore by issuance of 4.94 crore shares to government.
The issue price for this has been fixed at Rs 76.42 per share on the face value of Rs 10.