(Shutterstock)The Reserve Bank of India (RBI) has brought Lakshmi Vilas Bank (LVB) under its prompt corrective action (PCA) framework — a development that may put Indiabulls Housing Finance’s (IHFL) merger with the bank in a spot. It is based on three parameters — capital to risk weighted assets ratio (CRAR), net non-performing assets (NPA) and return on assets (RoA). Meanwhile, LVB has got shareholders’ approval to raise up to Rs 1,000 crore by issuance of securities. Shareholders also approved raising the authorised share capital from Rs 500 crore, divided into 50 crore equity shares of Rs 10 each, to Rs 650 crore, divided into 65 crore equity shares. It had reported a net loss of Rs 894.10 crore for 2018-19.

Source: The Telegraph September 28, 2019 18:45 UTC