Kotak Bank Plans to Sell 65 Million Shares to Raise Capital
- Other Indian lenders plan capital raisings amid lockdown
- Follows resolution of feud with RBI over founder’s holding
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Kotak Mahindra Bank Ltd. plans to raise about $1 billion with a new share issue in a move that will strengthen its capital buffers and reduce the stake held by its wealthy founder.
The Mumbai-based lender didn’t provide pricing details on the 65 million of new shares it said it will issue in a filing on Wednesday. However, under a regulatory formula, they should be priced around the level of the latest two-week average, which works out at about 1,184 rupees ($15).