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Canara Bank may launch QIP at Rs 150-152 per share: Sources

Canara Bank is likely to launch a qualified institutional placement (QIP) on Tuesday, August 17 with an issue price of around Rs 150-152 per share, sources told CNBC-TV18.
CNBC-TV18 wrote to the management for confirmation and awaited a response.
The lender already has its board's approval for raising up to Rs 2,500 crore through the QIP route.
Taking into account this Rs 2,500 crore that may be raised at about Rs 152 per share, its Tier I capital ratio could increase by anywhere between 48 and 50 basis point to about 10.82 percent.
The net worth could increase by 4.8 percent but the equity dilution would be around 10 percent. So, the book value may decline by about 4.7 percent to close to Rs 300 per share, given the fact that the issue price is way lower than the book value. However, the Government of India's stake may come down to about 63 percent from the 69.3 percent currently.
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