J&K Bank gets board approval to raise up to Rs 2,000 crore in FY23

State-owned Jammu and Kashmir Bank (J&K Bank) on Tuesday said it will raise up to Rs 2,000 crore, through a mix of debt and equity, in the current fiscal year 2022-23.

The board of directors of the bank, in its meeting held on June 28, approved the capital raise plan, J&K Bank said in a regulatory filing.

The board approved to raise equity capital up to Rs 500 crore in one or more tranches by way of rights issue/ preferential allotment, private placement/ qualified institutional placement or a follow on public offer or any other approved route, it said.

It has also approved to raise up to Rs 1,500 crore capital by way of issuance of Basel III compliant tier II bonds in the nature of non-convertible debentures on a private placement basis, it added.

Stock of J&K Bank closed at Rs 26 apiece on BSE, up by 1.56 per cent from previous close.