PNB to infuse Rs 72.82 cr in Bhutan subsidiary through rights issue

New Delhi: State-owned Punjab National Bank (PNB) on Thursday said it proposed to infuse Rs 72.82 crore in its Bhutan subsidiary Druk PNB Bank Ltd via a rights issue.

The board has approved participation in the proposed rights issue of Druk PNB Bank Ltd (DPNBL), an overseas subsidiary of the bank, for an amount of Rs 72,82,80,000, PNB said in a regulatory filing.

Punjab National Bank holds 51 per cent in the subsidiary as of now.

DPNBL was incorporated on December 31, 2008, with FDI participation, the filing said.

The indicative time period for completion of the rights issue is by the end of August 2023, it noted.

The proposed rights issue of DPNBL of Bhutan is at a premium of Rs 7 (face value of Rs 10) — Rs 17 per share, the filing said.

After participation in the proposed rights issue of DPNBL, the Bank’s shareholding will remain the same at 51 per cent.