Vijaya Bank plans to raise Rs 226 cr from LIC

New Delhi: State-owned Vijaya Bank today said it is planning to raise Rs 226 crore from allotment of equity shares to insurance major Life Insurance Corporation of India (LIC) on preferential basis.

"A meeting of the Board of Directors of the bank will be held on March 3, 2016, inter alia, to consider the proposal for issue of equity shares to Life Insurance Corporation of India (LIC) through preferential issue up to Rs 226 crore," Vijaya Bank said in a BSE filing.

In January, Vijaya Bank had raised Rs 450 crore from bonds to fund business growth.

The bank had received the approval to raise Rs 500 crore from Basel-III compliant tier-II bonds by way of private placement. The bank has raised Rs 450 crore from tier-II bonds at a coupon rate of 8.64 per cent, it had said in a statement.

Vijaya Bank stock was trading 1.08 per cent up at Rs 32.85 during the afternoon session on BSE.