The bank's Tier-I capital may get a Rs 1,500-1,700-crore boost from lower risk-weight and it has got the RBI's nod for the reduction in risk weight.
Axis Bank slipped 3 percent on BSE on September 24 even after media reports said that the private lender was likely to see a cumulative capital enhancement of more than Rs 16,500 crore.
The private lender was likely to raise another Rs 2,500 crore from promoters, CNBC TV18 said.
Moreover, the bank's Tier-I capital may get a Rs 1,500-1,700-crore boost from lower risk-weight and it has got the Reserve Bank of India's nod for the reduction in risk weight.
The bank raised Rs 12,500 crore in qualified institutional placement (QIP) from foreign and local investors after an institutional share sale on September 19, setting a floor price of Rs 661.50 per share.
However, Axis Bank's QIP saw a demand of Rs 13,000-13,500 crore against the offer of Rs 12,500 crore, CNBC TV18 quoted sources as saying.
About 48 percent of QIP was likely subscribed by long-only FIIs, while domestic institutions may have contributed 33 percent, it said.
Hedge funds likely subscribed 16 percent of the shares. California-based fund Dodge & Cox may have put in a bid of Rs 1,300 crore.
Axis Bank did not respond to CNBC TV18 queries on QIP issue details.
The scrip traded at Rs 708.10, down Rs 18.95, or 2.61 percent, on BSE around 1330 hours.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.
