UCO Bank to Raise Rs 2,000 Cr via QIP in Q3 | Business News

New Delhi, Oct 19 (PTI) State-owned UCO Bank on Saturday said it is planning to raise up to Rs 2,000 crore through share sale during the December quarter.

The plan to come out with Rs 1,500-2,000 crore qualified institutional placement in the current quarter as part of the strategy to meet minimum public shareholding (MPS) norms, UCO Bank Managing Director and CEO Ashwani Kumar said.

According to Sebi, all listed companies must maintain an MPS of 25 per cent.

The government's stake in the bank will come down 2-3 per cent post-QIP, Kumar further said.

The Government of India's stake in the Kolkata-based bank stood at 95.39 per cent at the end of September 2024.

Public sector banks (PSBs) and financial institutions have got time till August 2026 to comply with the minimum public shareholding norms.

Of the 12 PSBs, five are yet to comply with minimum public shareholding (MPS) norms and the government's holding is beyond 75 per cent.

The board and the government's approval is already in place for the share sale, and road show for the QIP will be undertaken soon, he said.

The lender's capital adequacy ratio stood at 16.84 per cent with Tier I Capital Ratio of 14.59 per cent at the end of September.