SBI's paid up capital increases to Rs 863 cr post QIP

New Delhi: State Bank of India (SBI) today said its paid up capital has increased to Rs 863 crore following the Rs 15,000 crore share sale through qualified institutional placement (QIP) route.

"Pursuant to the allotment of equity shares in the issue, the paid up equity share capital of the bank stands increased from Rs 810 crore to Rs 863 crore," SBI said in a regulatory filing to stock exchanges. The bank alloted 52.21 crore shares of face value of Re 1 at price of Rs 287.25 per share aggregating to Rs 14,999 crore to 61 eligible investors, it said.

SBI had opened the share sale through private placement on June 5. The total proceeds of the issue will be used to augment its capital adequacy ratio and for general corporate purposes, in accordance with applicable law, it had said earlier.

In 2014, SBI raised Rs 8,032 crore by selling shares through qualified institutional placement (QIP), largely aided by the state-owned life insurer LIC. The bank had sold 5.13 crore shares at an average price of Rs 1,565, which was the lower side of the price band it had set.

Post-equity allotment, the government stake came down to 58.6 per cent, from over 62 per cent.