City Union Bank Ltd-rights issue.

City Union Bank Ltd (CUB) has announced a rights issue at one new share for every four equity shares held in the company at Rs 20 a share. The price includes a premium of Rs 19 a share.

The record date for the rights issue has been fixed as November 23.

According to a press release from the company, “for the first time in the industry”, the bank has reserved a portion of the issue for its employees.

3% RISE IN PROFIT

The bank has posted a 3.8 per cent growth in net profit at Rs 80.42 crore for the quarter ended September 30, 2012, against Rs 77.5 crore in the comparable quarter in the previous year.

Total income was at Rs 596 crore (Rs 460.24 crore).

Gross NPA (non-performing assets) stands at 1.24 per cent and net NPA at 0.60 per cent. Current capital adequacy ratio is at 13.26. Book value a share stands at Rs 34.14.

The bank’s shares closed the week on Friday at Rs 59.70 from the previous day’s close of Rs 58.75 on the BSE..
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