Indian Overseas Bank plans ₹4,000cr fundraise via QIP

Business Jan 14, 2026

Indian Overseas Bank (IOB) is gearing up to raise ₹4,000 crore through a Qualified Institutional Placement (QIP), with board approval already in place.
According to MD and CEO Ajay Kumar Srivastava, the fundraising could happen as soon as next month or by March 2026, depending on how the market looks.

Why does this matter?

If all goes as planned, this QIP could lower the government's stake in IOB by about 3-4%, following a recent 2.2% divestment.
It's IOB's biggest single-quarter QIP in 10 years and is meant to boost its capital for future growth.

By the numbers

IOB has been on a growth streak lately—net profit jumped 56% year-on-year last quarter to ₹1,365 crore, while total business hit ₹6.44 lakh crore.
Advances grew by 24%, and deposits also saw steady gains.