United Bank of India plans to raise Rs 300- 400 crore

Through public offer in December 2009

United Bank of India plans to raise Rs 300- 400 crore through an initial public offer (IPO) in December 2009, reports quoting its chairman and managing director S.C. Gupta indicated on Monday, 22 June 2009.

Reports added that United Bank
of India is in the process of reducing its equity capital. That will be followed by getting its accounts audited on 30 September 2009

The Government holding in the bank, currently at 100%, might come down to 80% post-IPO, an unnamed senior official at the bank reportedly said.

The IPO would be preceeded by capital restructuring, where the paid-up base would be lowered from Rs 1,532 crore to Rs 266 crore. The remaining Rs 1,266 crore, after being returned to the government, would be transferred to the capital reserve account in 2009-10