RBL Bank shares rise 3% on nod to raise Rs 6,500 cr via QIP, debt issue

Shares of RBL Bank Ltd gained 3% in early deals after the lender received approval from board for raising funds up to Rs 3,500 crore via qualified institutions placement, in one or more tranches, and Rs 3,000 crore via the issue of debt securities, in one or more tranches, on a private placement basis.

The RBL Bank stock rose 3% to Rs 268.60 against the previous close of Rs 262.50 on BSE. 

Market cap of the bank climbed to Rs 16,391 crore on BSE. Total 0.69 lakh shares of the firm changed hands amounting to a turnover of Rs 1.88 crore. Market cap of the bank fell to Rs climbed to Rs 16,345 crore on Friday. The stock has a beta of 1.6, indicating high volatility in a year.  

In terms of technicals, the relative strength index (RSI) of RBL Bank stands at 55.9, signaling it's neither trading in the overbought nor in the oversold territory. RBL Bank shares are trading higher than the 5 day, 10 day, 50 day, 100 day, 150 day and 200 day moving averages.

 The lender in a communication to bourses said

"Enabling Approvals for raising of funds as mentioned below:

1. Raising of funds by way of a Qualified Institutions Placement (by means of issuing Equity Shares) for an amount up to Rs. 3,500 crore, in one or more tranche or tranches, which shall constitute up to 15% of the post-issue paid up equity share capital of the Bank in accordance with the provisions of the Companies Act, 2013, Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended and such other acts, rules and regulations and subject to approval of the Members and such regulatory / statutory approvals, as may be applicable.

2. Issue of debt securities, in one or more tranches, on private placement basis, from time to time, upto an amount of Rs. 3,000 crore, pursuant to Section 42 and other applicable provisions of the Companies Act, 2013, applicable SEBI Listing Regulations and subject to approval of the Members and such Regulatory / Statutory approvals as may be applicable."