Central Bank IPO fully subscribed

The initial public offering of Central Bank of India got fully subscribed just hours after the issue opened.As per the NSE website, the issue was subscribed 1.09 times. It received 8.70 crore bids for the issue size of 8 crore shares. Around 98,040 bids were made at cut-off price.The price band of the issue is fixed at Rs 85-102 per share. The issue closes Friday.

The bank plans to raise Rs 680 crore at the lower price band of Rs 85 and Rs 816 crore at the upper price band of Rs 102 through the issue.The issue proceeds will be utilised to augment the capital base of the bank to meet future capital requirements.

The bank has reserved 60 per cent of the shares for the qualified institutional buyers and 30 per cent of the shares for retail investors.Post issue, the shareholding of the union government in the bank will come down to 80.20 per cent.

Central Bank plans to raise $197 mn IPO

State-run commercial lender Central Bank of India has filed papers with the regulator for an initial public offering to sell 20 percent, which bankers said could raise about Rs 80 crore ($197 million).

The bank said in its offer document it planned to sell 80 million shares, or a fifth of its post-issue capital.

"We are aiming for about 8 billion rupees," said a banker associated with the issue, adding it may open for subscription in July. Another banker also gave a similar figure.

The bank's net profit jumped 93 percent to Rs 49.8 crore in the fiscal year ended March, boosted by lower provisioning for bad loans, it said in the offer document.

ICICI Securities, Citigroup, Enam Financial, IDBI Capital and Kotak Mahindra are arrangers to the issue.