IndusInd Bank To Raise Rs 30,000 Crore Through Issue Of Debt, Equity

The board of IndusInd Bank Ltd. has on Wednesday approved the raising of funds worth Rs 30,000 crore through various financial instruments, as per an exchange filing.

The lender is set to raise Rs 20,000 crore through the issue of debt securities on a private placement basis, as per the filing.

An additional Rs 10,000 crore equity fund raise through the issue or placement of securities such as depository receipts, or via qualified placement issue has also been approved by the board to augment capital.

Additionally, the bank informed that Jayant Deshmukh ceased to be a non-executive independent director with effect from the close of working hours on July 23 upon completion of his tenure, through a separate filing.

The lender's June financials are expected on July 28. IndusInd is still on the hunt for a new Chief Executive Officer, with buzz surrounding Anup Kumar Saha's recent resignation as managing director and director of Bajaj Finance as a potential CEO candidate.

The Reserve Bank of India had directed IndusInd Bank to submit its CEO recommendations by June 30.

According to news reports, the top three CEO contenders, apart from Saha, include Rajiv Anand, deputy managing director of Axis Bank, who is set to retire from the private sector bank in August; and Rahul Shukla, former former group head at HDFC Bank, who is currently on sabbatical and is known for his experience in commercial and rural banking.

The announcement of a new CEO is crucial for IndusInd Bank as the lender will be tasked with restoring trust, tightening governance, and stabilising the bank after months of financial misreporting and management turmoil.

Shares of the bank ended 0.95% higher at Rs 851.15 apiece as compared to a 0.63% advance in the benchmark NSE Nifty 50.