Mumbai: HDFC Bank, India's second-largest private lender, on Thursday said it will issue additional shares to raise an estimated Rs 4,200 crore, one-third of which would be mopped up through promoters by way of preferential allotment.
The bank has received shareholders' nod to raise additional share capital of up to Rs 4,200 crore, it informed the Bombay Stock Exchange.
As the proposed equity issue will result in reduction of the promoters' present shareholding of 21.56 per cent, 1.35 crore equity shares would be allocated to them on preferential basis at an issue price of Rs 1,023.49 per share. This aggregates to over Rs 1,390 crore.
HDFC Bank plans to raise the balance amount either through domestic public offering or public or private offerings in one or more international markets.
The bank's plans to launch to raise additional capital comes close on the heels of its bigger rival ICICI Bank's decision to mop up over Rs 20,000 crore.
HDFC Bank also said its board also approved the proposal to seek shareholders' approval to facilitate grant of 1.5 crore stock options to the employees of the Bank.
Shares of the bank closed at Rs 1,036.25, up 0.23 per cent from the previous session.
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