Indian Overseas Bank announced its plans to raise ₹4,000 crore through the capital market during the current quarter, with the fundraising expected to be completed by February or March 2025. The public sector bank has already secured all necessary approvals from its Board for the capital raise, which will be executed through Qualified Institutional Placements (QIP).

Capital Raise Details

Managing Director and CEO Ajay Kumar Srivastava confirmed that the ₹4,000 crore fundraising approval is already in place for the current financial year. The timing of the capital raise will depend on prevailing market conditions, with the bank targeting the next month or March for execution.

The capital raise will result in a 4% dilution of the government's stake in the bank, as confirmed by the MD and CEO during a media interaction.

Strong Q3 FY25 Performance

The fundraising announcement comes on the back of robust financial performance in the third quarter ending December 2024. The bank demonstrated significant improvement across key financial metrics, reflecting enhanced operational efficiency and reduced asset quality concerns.

Exceeding Growth Guidance

The bank has significantly outperformed its initial growth projections for the financial year. While the original guidance provided in the first quarter projected growth of 13-14%, the bank has achieved 24% growth, substantially exceeding expectations. This strong performance has been driven by improved core business operations and a reduction in bad loans.

Srivastava highlighted that the bank's outlook remains positive, with performance metrics surpassing the guidance provided at the beginning of FY25. The enhanced growth trajectory reflects the bank's successful turnaround strategy and improved asset quality management.

Strategic Positioning

The planned capital raise will strengthen the bank's capital adequacy ratios and provide additional resources for business expansion. With the strong Q3 performance demonstrating operational improvements and the upcoming capital infusion, Indian Overseas Bank appears well-positioned to capitalize on growth opportunities in the banking sector while maintaining regulatory compliance and supporting its lending operations.

Indian Overseas Bank has made the recording of its quarterly earnings conference call available to investors and stakeholders. The bank conducted the call on January 14, 2026, to discuss its financial performance for the quarter and nine months ended December 31, 2025.

Earnings Call Details

The conference call was held with analysts and investors on Wednesday, January 14, 2026, at 5:00 PM IST. The bank organized this session to provide insights into its financial performance and address queries from the investment community.

Recording Availability

The earnings conference call recording has been uploaded to the bank's official website for public access. Investors and interested parties can listen to the complete discussion through the link provided on the bank's investor relations section.

Regulatory Compliance

This disclosure was made in continuation of the bank's earlier intimation dated January 9, 2026. The communication follows the requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency in financial reporting and investor communication.

The bank's compliance officer, Ram Mohan K, signed the official communication digitally on January 14, 2026, confirming the availability of the earnings call recording for stakeholder reference.