State Bank of India plans to raise Rs 15000 cr via follow-on public offer, QIPs; seek merchant bankers' bids to manage issue

Country's largest lender State Bank of India on Tuesday said it plans to garner funds through follow-on public offer and institutional placement in FY 2017 and has sought applications from merchant bankers for managing the issue.

"The bank intends to tap capital markets via a QIP/FPO. The issue size may vary based on various factors including but not limited to management discretion and the decision of the shareholders," SBI said in a public notice.

The bank said it proposes to select and appoint up to 6 merchant bankers with requisite experience who together will be designated as Book Running Lead Managers (BRLMs).

Proposed FPO and Qualified Institutional Placement (QIP) follows merger of five associate banks and Bharatiya Mahila Bank from April.

SBI has already taken board approval for raising up to Rs 15,000 crore through various means public offer and overseas issuance of shares during the current fiscal.

The funds will be raised either through follow-on public issue, qualified institutional placement, rights issue, private placement, Global Depository Receipt, American Depository Receipt or a combination of these, SBI had said last month.