Federal Bank Shares Gain After Floating QIP; What Investors Should Know - News18
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Federal Bank shares: Private sector lender Federal Bank shares rose in morning trade on July 20 after the bank launched a qualified institutional placement (QIP) issue and fixed the floor price at Rs 132.59 per share. At 10.25 am, shares of Federal Bank were trading 1.18 per cent up at Rs 137.30 on the BSE. In a regulatory filing post market hours on July 19, Federal Bank said the credit, investment and raising capital committee of its board of directors has “authorised the opening of the issue today, i.e., July 19, 2023". In May, it was reported that Federal Bank planned to raise approximately Rs 4,000 crore through a combination of QIP and preferential allotment. The pricing formula arrived at by the committee is Rs 132.59 per equity share, with a provision to offer a discount of up to 5 per cent on the floor price. The floor price of Rs 132.59 represents a discount of around 2 per cent compared to the current market price. On July 19, the bank’s stock settled at Rs...