Andhra Bank: Issue & allot equity shares to Government of India on Preferential basis

Andhra Bank has informed BSE that

1. Pursuant to passing of a Special Resolution by the shareholders of the Bank at the Extraordinary General Meeting of shareholders of the Bank held on March 23, 2011, at Hyderabad, authorizing the issuance of 7,45,80,366 equity shares to Government of India on preferential allotment basis at Rs 157.28p. Per equity share (including a premium of Rs 147.28p per share), the Government has infused the capital of Rs 617,99,99,894/- and Rs 554,99,99,913/- aggregating to Rs 1172,99,99,807/- towards issuance and allotment of equity shares on preferential basis.

2. The Board of Directors of the Bank at their meeting held on February 18, 2011, vide Resolution No 1, had authorized the Chairman & Managing Director/ Executive Director in the absence of the Chairman & Managing Director, to do all such acts, deeds and things as may be necessary and expedient in this regard including finalization of date of the Extraordinary General Meeting, approving the notice convening the meeting, fixing the issue price and the number of shares to be issued and allotted to Government of India as provided under SEBI (ICDR) Regulations, 2009 and allotment of equity shares to Government of India on Preferential basis and to conduct the meeting and to do all matters incidental or ancillary thereto.

3. Accordingly, the Bank has on March 25, 2011 allotted 7,45,80,364 equity shares to Government of India on a preferential basis.