The Board of Directors of Union Bank of India approved a capital plan to raise up to ₹6,000 crore.
This includes raising equity capital up to ₹3,000 crore through various methods such as Public Issue (Further Public Offer), Rights Issue, Private Placements including Qualified Institutions Placements, and/or Preferential Allotment.
The fundraise is subject to the approval of the Government of India, other regulatory authorities, and the bank's shareholders.
The plan also includes raising Basel III compliant Additional Tier 1 (AT1) Bonds up to ₹2,000 crore and Tier 2 Bonds up to ₹1,000 crore (including foreign currency denominated AT1/Tier 2 Bonds).