Bank of Baroda shares fall post big announcements

The second largest PSU bank of the country Bank of Baroda (BoB) announced on Thursday that it has decided to sell the head office of former Dena Bank in Bandra Kurla Complex (BKC) for at least Rs. 530 crore, with the option of incremental bids of Rs. 50 lakh each. Shares of Bank of Baroda slumped nearly 4.65 per cent intraday to a low of Rs. 96.75 on the BSE.

It had stated - “Bank of Baroda invites offer for sale-cum-auction of its immovable property at Bandra Kurla Complex namely “Dena Corporate Centre" by holding e-auction."

The e-auction will be conducted on 18 October. The proposed property to be sold has a land area of 2878.36 square meters and built-up area of 9953.73 square meters. In April 2019, the Dena Bank and Vijaya Bank had merged with Bank of Baroda.

In another statement on Friday, Bank of Baroda announced that it is planning to raise debt capital. The lender informed that a meeting of the Capital Raising Committee (CRC) of Whole Time Directors of Bank of Baroda is scheduled to be held on 18.09.2019 to consider raising of debt capital for the Bank through issuance of Basel III Compliant Tier II Bonds / Additional Tier 1 Bonds.

Shares of Bank of Baroda had opened at Rs.100.90 as compared to the previous close of Rs. 101.25. The stock hit an intraday high of Rs. 101.35 and intraday low of 96.75. At closing hours, the stock was trading at Rs. 99.85, down 1.38 per cent.