Shares of Punjab & Sind Bank rose over 12% on Thursday, after the company reported a two fold rise in net profit at Rs 282 crore.
The bank's net interest income grew by 27% to Rs 939 crore during the quarter ended Dec. 31, 2024, as against Rs 739 crore in the same period a year ago. The bank's gross non-preforming asset was at 3.83% up from 4.21% in the previous quarter.
The net non-performing assets stood at 1.25% in the quarter ended December, in comparison to 1.46% in the last quarter.
The state-owned company raised Rs 3,000 crore in December through the issuance of its first infrastructure bonds, aimed at boosting its infrastructure lending capabilities.
The bank received bids totaling Rs 6,031 crore, significantly exceeding the base issue size of Rs 500 crore, according to a regulatory filing. The bank has decided to accept bids worth Rs 3,000 crore at an annual coupon rate of 7.74%.
As per RBI guidelines, these 10-year bonds will be listed on the National Stock Exchange for trading.
Earlier, the lender planned to raise Rs 2,000 crore, with approval from its board. It plans to raise the amount in one or more tranches within 12 months from the approval date.
Punjab & Sind Bank Shares Rise
The scrip rose as much as 12.36% to Rs 52 apiece, the highest level since Jan. 3. It pared gains to trade 9.51% higher at Rs 50.68 apiece, as of 10:27 a.m. This compares to a 0.39% advance in the NSE Nifty 50.
It has risen 11.88% in the last 12 months. Total traded volume so far in the day stood at 26 times its 30-day average. The relative strength index was at 55.
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