IOB board clears preferential issue

The board of directors of Indian Overseas Bank on Tuesday approved the issue of equity shares on preferential basis to Government of India towards the capital infusion of ₹3,806 crore it had received for the financial year 2018-19. In a regulatory filing, the bank said the board approved issue of 269.54 crore equity shares at a issue price of ₹14.12 (including premium of ₹4.12 an equity share). Last week, the Centre had approved capital infusion of ₹48,239 crore in 12 public sector banks in the current financial year to ensure the lenders to be able to maintain regulatory capital requirements.