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Suryoday Bank Eyes ₹1000 Cr Capital Boost
25 Feb
Summary
- Suryoday Small Finance Bank is seeking shareholder approval to raise up to ₹1,000 crore.
- Capital may be raised through various methods including preferential allotment and rights issue.
- The bank reported a 9.6% year-on-year net profit increase to ₹36.5 crore for Q3FY26.
Suryoday Small Finance Bank has initiated a process to raise capital, aiming for an aggregate amount not exceeding ₹1,000 crore. This strategic move requires shareholder approval via a special resolution. The bank intends to secure these funds through various instruments, including equity shares, warrants, and other securities.
Methods for capital raising may encompass preferential allotment, qualified institutions placement, private placement, or rights issue, among others. E-voting on the resolution is scheduled to conclude on February 28, 2026, though the bank clarified this is an enabling provision for future needs.
As of December 31, 2025, Suryoday Small Finance Bank reported a Capital to Risk Weighted Asset Ratio of 21.9%, exceeding regulatory requirements. The bank's net profit for the third quarter of FY26 reached ₹36.5 crore, a 9.6% increase from the previous year.
However, the bank experienced a slight deterioration in asset quality during the quarter. Gross non-performing assets increased to 4.35%, and net non-performing assets rose to 6.69% compared to the preceding quarter.
