Shares of Dena Bank are up over 2 per cent in morning trade on Friday on the Bombay Stock Exchange. The state-owned bank on Thursday raised Rs 151.24 crore by issuing shares to Life Insurance Corporation (LIC) on preferential basis.
On receipt of contribution of Rs 151.24 crore from LIC, the bank has allotted 1.66 crore (1,66,69,453) shares of the face value of Rs 10 each at a premium of Rs 80.73 to the insurer on preferential basis, the bank said in a filing to the BSE.
Following the allotment, the government stake has come down to 55.24 per cent from 58.01 per cent.
Last year, the bank got a capital infusion of Rs 539 crore from the government.
In 2010-11, the government provided capital support to the tune of Rs 20,157 crore to public sector banks.
(With inputs from PTI)
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