ICICI bank is planning to go for $5 billion follow-on public offer making it largest public issue in Indian domestic market.
The country’s second largest lender ICICI Bank is planning to tap the markets with a Rs 20,000 crore (about $5 billion) follow-on public offer (FPO) by June to meet the growing demands of Indian corporates and to meet regulatory guidelines. The funds would be raised from both the Indian and US markets by issuing fresh shares.
The FPO will be the second issue by the bank after ICICI Bank was created through a reverse merger between ICICI Bank and ICICI Ltd.
This would be the largest public issue ever made in domestic corporate history surpassing Cairn India’s $2 billion issue last year. As on March 31, 2006, the total foreign shareholding in the bank was 73.87% (with the maximum permissible limit at 74%).