Bank of India (BoI), on Thursday, approved a proposal to raise Tier-I capital ranged between Rs 1,350 crore to Rs 1,500 crore through QIP (qualified institutional placements) route, reports DHNS from Mumbai.

BoI Chairman & Managing Director T S Narayanswami said the Board approved a proposal to issue 3,77,72,600 equity shares through QIPs at a floor price of Rs 359 per share plus the premium to be decided on January 23, 2008, when the bank will hold an extra ordinary general meeting of shareholders for their consent.

The placement of BoI shares will be offered to public sector enterprises and mutual funds, which will be subject to SEBI (DIP) guidelines, he added.

After implementation of this proposal, promoters’ (government) holding will come down to 64.47 per cent from 69.47 per cent.