Mumbai, Oct 20, 2021:
The ₹ 79 crore rights issue of Fedbank Financial Services Ltd (Fedfina) was fully subscribed by its existing shareholders. Company’s tier 1 capital adequacy ratio which stood at 16.81% in Q2FY21 (FY20: 17.53%, FY19: 21.42%, FY18: 16.85%) further strengthened with this infusion. The capital infusion by Federal Bank and True North Fund V was in the ratio of their respective shareholding in Mar’20, i.e. 74% and 26% respectively.
The parent has provided financial support to the company through regular capital infusions (around ₹ 2.49 billion since inception), with the most recent infusion of ₹ 80 crore in Mar’20.