Indian Overseas Bank to raise Rs 1,570 crore through public offer

State-owned Indian Overseas Bank (IOB) on Saturday said it proposes to raise up to Rs 1,570 crore at the current market price from the public offer to fund its growth plan.

The bank plans to "raise capital by issue of equity shares to the public not exceeding 51.79 crore shares of face value of Rs 10 each at appropriate premium," IOB said in a filing on the BSE.

It, however, did not specify the timing and the exact quantum of the public offer.

Shares of the bank closed at Rs 30.45 per unit, down 0.33% on the BSE on Friday. So, the bank would be able to raise Rs 1,577 crore as per the Friday's closing price. The government holding in the bank was 73.80% at the end of September 2015.

The approval for capital raising was obtained at the AGM held on June 30, 2015.