The Federal Bank Limited has informed the Exchange about Allotment of warrants of the Federal Bank Limited to Asia II Topco XIII Pte. Ltd. on a preferential basis

The Federal Bank has allotted convertible warrants to Asia II Topco XIII Pte. Ltd., an entity affiliated with Bain Capital, on a preferential basis. This is a private placement of warrants to a single, large institutional investor rather than a public offering. The warrants, once exercised, will result in fresh equity shares being issued to Bain Capital, thereby increasing the bank's share capital. Such preferential allotments are typically used by banks to raise growth capital from marquee investors without a wider market dilution. The move signals confidence in Federal Bank's growth story from a globally recognised private equity player.