State-owned UCO Bank on Saturday said its board of directors will meet next week to consider raising up to ₹500 crore as tier-II capital.
The board of directors will consider the proposal for raising tier-II capital of up to ₹500 crore at its meeting scheduled to be held on June 23, the public sector lender said in a regulatory filing.
Tier-II capital of a bank consists of undisclosed reserves, revaluation reserves, general provisions and loss reserves, hybrid capital instruments, subordinated debt and investment reserve account. The loss absorption capacity of tier-II capital is lower than that of tier-I capital.
