Mumbai: State-run Indian Bank has deferred its plan of launching a follow-on public offer (FPO) due to poor market conditions, a top bank official said today.
"Since the market rate of my share today is slightly more than the book value, this is not the opportune time to bring the FPO," Bank Chairman and Managing Director T M Bhasin told reporters on the sidelines of a Ficci-IBA conference here.
"I don't want to sell the share cheaper than my book value...the market is not conducive," he said and declined to give any new timeline for the issue, which was originally slated to be launched by October.
The Chennai-headquartered bank's total capital adequacy stands at a comfortable 13.56 per cent at present and it had planned to sell 6.14 crore equity shares of Rs 10 face value.
The bank's scrip closed 0.52 per cent up at Rs 201.15 on the BSE today and Bhasin said the book value of the share as on June 30 stood at Rs 194.
First Published: Tuesday, August 23, 2011, 21:57