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IDFC First Bank launches QIP to raise funds
October 04, 2023
Private sector lender IDFC First Bank Ltd. launched a Qualified Institutional Placement on Tuesday to raise funds, confirming a CNBC-TV18 newsbreak from earlier in the day.
The floor price of the QIP has been set at ₹94.95 apiece, which is nearly the same as the lender’s closing price on Tuesday.
The bank, at its discretion, may offer a discount of not more than 5 percent on the floor price of the issue, the exchange filing said.
IDFC First Bank’s committee will meet again on October 6 to determine the issue price of the equity shares to be issued to eligible investors and the number of shares to be allotted to qualified institutional buyers.
Earlier on Tuesday, CNBC-TV18 had reported that the bank is likely to launch its QIP with an aim to raise ₹3,000 crore.
CNBC-TV18 had also learned that the bankers for the QIP include a mix of domestic and foreign names.
Sources have now told CNBC-TV18 that the base size of the QIP is worth ₹2,000 crore with a greenshoe option of another ₹1,000 crore.
The indicative price of the QIP is said to be ₹90.25 per share, which is a 4 percent discount to the stock’s closing price on Tuesday, according to the sources, who also said that the QIP will result in a dilution of 3.3 percent equity at base size and 4.94 percent including the greenshoe option.
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