Central Bank shares zoom 17 pc on fund raising plans

Shares of Central Bank of India on Wednesday surged nearly 17 percent after the company's board approved to allot shares on a preferential basis to the government to raise up to Rs 3,353 crore. On the BSE, shares of the company zoomed 15.32 percent to close at Rs 20.70. During the day, it rose sharply by 19.77 percent to Rs 21.50.

On the NSE, it climbed 16.94 percent to close the trade at Rs 21.05. The capital raising committee of the board of directors at its meeting on Tuesday considered and approved raising of equity capital by issuance and allotment of up to 158,38,45,063 equity shares aggregating to Rs 3,353 crore to the government on a preferential basis, it said in a regulatory filing.

The bank said the board approval is subject to the nod of the shareholders, Reserve Bank of India, Securities and Exchange Board of India and other statutory authorities.