Mumbai, Jun 30, 2021:
The ₹ 200 Cr rights issue of Fedbank Financial Services Ltd (Fedfina) was fully subscribed by its existing shareholders. The company’s tier 1 capital adequacy ratio, which stood at 23.5% for FY21 (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’21, i.e. 74% and 26%, respectively.
The parent has provided financial support to the company through regular capital infusions (around ₹ 4.49 billion since inception), with the most recent infusion of ₹ 80 crore in Oct’20.