The South Indian Bank Rights Issue will open for subscription from 06 March 2024. the company aims for an issue size of ₹1,151 Crores through this rights Issue.
About the company
The South Indian Bank Limited is one of the first banks in South India to be established during the Swadeshi movement. The South Indian Bank offers
- Personal Banking: Under Personal Banking, the company offers account opening, term deposits, individual current accounts, personal loans, car loans, home loans, gold loans, etc., mutual fund investments, insurance, money transfers, etc.
- Priority Banking: Complimentary airport lounge, discount on locker rental, priority savings account, discount on lending, reward points, etc.
- NRI Banking: In this segment, the company offers account opening and deposits, loans, and electronic services like online NRI account opening, KYC updates, FATCA-CRS updates, etc.
- Online banking
- Banking services for businesses: These include business account opening, domestic financing, international financing, money transfer, value-added services, SIB API banking, etc.
Objectives of the Issue
The Bank intends to utilize the net proceeds from the Issue to increase its Tier 1 capital base to meet future capital requirements expected to arise from growth in assets, primarily loans, and investment portfolio, and to ensure compliance with regulatory capital requirements prescribed by the RBI from time to time.
The South Indian Bank Rights Issue Timetable
| Last Date to buy shares | 26 February 2024 |
| Record Date | 27 February 2024 |
| Credit of Rights Entitlements | 05 March 2024 |
| Bid/Offer Opens On | 06 March 2024 |
| Renunciation of Rights Entitlements | 14 March 2024 |
| Bid/Offer Closes On | 20 March 2024 |
| Deemed Date of Allotment | 05 April 2024 |
| Credit Date | 09 April 2024 |
| Listing Date | 12 April 2024 |
The South Indian Bank Rights Issue Details
| Issue Open | March 6, 2024 – March 20, 2024 |
| Security Name | The South Indian Bank Limited |
| Issue Size (Shares) | 523,185,254 |
| Issue Size (Amount) | ₹1,151.00 Crores |
| Issue Price | ₹22 per share |
| Face Value | ₹1 per share |
| Listing At | BSE, NSE |
| Terms of Payment | Rights Issue Price: Rs.22 per Rights Equity Share fully paid-up (including a premium of Rs.21 per Rights Equity Share) payable on Application. |
| Entitlement | 1 Rights Equity Share(s) for every 4 fully paid-up Equity Shares held on Record Date |
Company Financials
| Period Ended | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 107,697.16 | 100,051.87 |
| Revenue | 8,044.55 | 7,620.44 |
| Profit After Tax | 775.31 | 44.81 |
| Net Worth | 6,098.03 | |
| Reserves and Surplus | 6,465.35 | 5,643.69 |
| Total Borrowing | 6,993.85 | 3,294.49 |
The South Indian Bank Rights Issue Documents
Lead Manager(s)
IIFL Securities Limited
The South Indian Bank Registrar
Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: sib.rights2024@linkintime.co.in
Website: https://linkintime.co.in/initial_offer/public-issues.html
Company Contact Information
The South Indian Bank Limited
S.I.B. House, T.B. Road,
P.B. No: 28,
Thrissur – 680001
Phone: 0487-2420 020
Email: sibcorporate@sib.co.in
Website: http://www.southindianbank.com/
Final Thoughts
Applying for the rights issue is purely a personal choice. make sure you make a detailed study about the company and rights issue before you make an investment decision.
Happy investing
