PNB to raise Rs 539 cr via employee stock purchase scheme; move aims at retaining skilled staff, raising capital

A meeting of the remuneration committee of PNB took the decision to offer, issue and allot up to 10 crore new equity share of the bank to the eligible employees of the bank.

Press Trust of India November 29, 2018 11:09:50 IST
PNB to raise Rs 539 cr via employee stock purchase scheme; move aims at retaining skilled staff, raising capital

New Delhi: State-owned Punjab National Bank on Wednesday said it will raise Rs 539.50 crore by issuing 10 crore equity shares to its employees under staff stock purchase scheme.

The issue price was decided at the board meeting held on Wednesday.

A meeting of the remuneration committee of the bank took the decision to offer, issue and allot up to 10 crore new equity share of the bank to the eligible employees of the bank under Punjab National Bank Employee Share Purchase Scheme at a price of Rs 53.95 per equity share, the bank said in a regulatory filing.

The offer will open on 30 November and close on 10 December, 2018.

The government in March 2017 had allowed public sector banks to offer stock options to their employees, aimed at retaining experienced hands and better incentives besides a means of capital raise.

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