PNB likely to launch QIP soon, base size expected to be Rs 1,200 crore

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As per the initial details, the indicative offer price is expected to be Rs 33.75 per share, however, the management is yet to make the announcement.

PNB | Representative Image.

PNB | Representative Image.

Punjab National Bank is likely to launch Qualified Institutional Placement (QIP), whose base size is expected to be Rs 1,200 crore with an option to upsize to Rs 1,800 crore, according to a report by CNBC Awaaz.

As per the initial details, the indicative offer price is expected to be Rs 33.75 per share, however, the management is yet to make the announcement.

Punjab National Bank Q4 Net Profit to Rs 948 cr: Sharekhan

The new move is seen as a plan to widen the bank’s capital base. The public sector bank in February had said it was planning to raise Rs 3,200 crore from share sale during that quarter.

Earlier in December 2020, the state-owned bank had raised Rs 3,788.04 crore from QIP, following which government’s stake in it dropped from 85.59 percent to 76.87 percent.

According to brokerage house Sharekhan, Punjab National Bank is likely to report net profit of Rs 948 crore (up 87.3 percent on sequential basis). Further, it expects the net interest income (NII) to increase by 83.5 percent year-on-year (YoY) and 3.3 percent QoQ to Rs 8,586 crore, while the pre-provision profit (PPP) is likely to rise by 62 percent YoY but fall by 0.3 percent QoQ to Rs 6,372 crore.

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