Karnataka Bank is planning to complete capital raise of ₹1500 crrore during the current financial year, according to Srikrishnan H, Managing Director and Chief Executive Officer of the bank.
Speaking at the centenary celebration of the bank in Mangaluru on Sunday evening, he said the bank completed the first tranche of capital raise of ₹800 crore by October 2023. “We are in the process of doing the follow-up round of ₹700 crore totalling ₹1500 crore, which will be completed within this financial year,” he said.
The bank’s market cap has gone significantly higher closer to ₹10,000 crore, he said.
Highlighting the “Startup @ 100” initiative of the bank as it enters the second century of its existence, he said: “We have adopted startup culture where all our colleagues are acting entrepreneurially, thinking entrepreneurially, and executing entrepreneurially.”
Referring to the newly opened centenary building of the bank in Mangaluru, Srikrishnan said this building houses two museums. One of the museums depicts the journey of the bank in the last 100 years. This museum consists of rare documents, pictures and other information related to the bank. The second one is a digital museum that focuses on the future of banking in the next 100 years, he said.
Speaking on the occasion, DK Shivakumar, Deputy Chief Minister of Karnataka, said the Karnataka government is committed to support Karnataka Bank in whatever way it wants.
Stating that many banks born in coastal Karnataka have vanished in the past few years, he said Karnataka Bank should merge other banks with it in the coming years.
(Erstwhile Corporation Bank was merged with Union Bank of India, and erstwhile Syndicate Bank was merged with Canara Bank a few years ago.)
Referring to this suggestion of Shivakumar, P Pradeep Kumar, Chairman of Karnataka Bank, said merger is not an easy task. However, the bank should be able to merge others in the next decade, he said.
R Venkataramani, Attorney-General for India, spoke on the occasion.
Karnataka Bank released ₹100 coin to commemorate the 100 years of its existence. A postal stamp and special postal cover were also released on the occasion.
The centenary year celebration also marked the inauguration of 15 new branches through virtual mode.
Sekhar Rao, Executive Director of the bank, proposed a vote of thanks on the occasion.