The bank issued 23,395,291 units of shares at a ratio of 2:1 on August 20. The issue that was supposed to close on September 23 was extended by 15 days to October 8, even though; the issued has been undersubscribed by 9.3 million shares.
As per the report obtained by Merolagani, only 14.1 million units of right shares have been claimed by the existing shareholders.
Now the unclaimed 9.3 million units of shares will be auctioned by the bank. However, in the current bearish trend, there is less chance of selling the shares through the auction.
Presently, the bank has a paid-up capital of Rs 4.67 billion which will reach Rs 7.01 billion after the right issue. The bank is still short of Rs 990 million to meet the minimum paid-up capital of Rs 8 billion.
