Bank of India to raise Rs 264.12 cr by selling shares to LIC

New Delhi: Bank of India (BOI) today said it will raise capital by allotting two crore equity shares to LIC at a price of Rs 264.12 crore in order to comply with Basel norms.

The bank will hold its Extraordinary General Meeting of the shareholders on December 1, to issue and allot these many shares to LIC, the Bank said in a filing on BSE.

"To create, offer, issue and allot 2,00,00,000 equity shares of Rs 10 each for cash at Rs 132.06 per share including premium of Rs 122.06 per equity share on preferential basis to LIC," it said in the filing.

With a view to comply with Basel (II & III) requirements relating to capital adequacy, there is an ever increasing need to raise capital, it said.

"The capital raised would be utilised to shore up the capital adequacy of the Bank and to fund the general business needs of the Bank," it added