Bank’s foreign investment limit under NRI/PIO raised to 24 pc
KOCHI: The shareholders of the Thrissur-based South Indian Bank (SIB) on Tuesday approved the appointment of Murali Ramakrishnan (seen in the picture) as the new managing director and chief executive officer (CEO) of the bank for a period of three years from Thursday (October 1, 2020).
The bank has also obtained the shareholders’ approval to increase foreign investment limit under NRl/PIO category from the present 10 per cent to 24 per cent of the paid-up share capital of the bank within the overall permissible foreign investment limit applicable to the bank
Ramakrishnan has already joined SIB as advisor in May itself, after retiring from ICICI Bank. The incumbent MD & CEO, VG Mathew, is stepping down from the post after serving the bank for two terms of three years each during which time he tried to give the bank a ‘retail face’.
Prior to joining SIB, Murali Ramakrishnan was a senior general manager at ICICI Bank’s Strategic Project Group till his retirement in May 2020. Ramakrishna had also worked with GE Capital, SRF Finance, Spartech Emerging Fund, CanBank Venture Capital, etc., before taking over the senior position in ICICI Bank.
SIB shareholders who ratified the bank’s plan to increase the authorised capital of the bank to Rs350 crore at the general meeting on Tuesday, also gave the green signal to augment the Tier 1 capital by raising up to Rs750 crore including premium, in one or more tranches.
The shareholders also approved the board’s proposal to raise up to Rs500 crore through the issue of debt. In both cases, the bank may explore more than one route to raise funds.