BoB board to consider allotment of shares to staff next week

PTI

Business, Companies

The scheme also aims at providing better incentives besides being a means of capital raise.

The board of directors of the bank is scheduled to meet on November 29, 2018.

New Delhi: Bank of Baroda (BoB) Thursday said its board will meet next week to consider allotment of fresh shares under the employee stock purchase scheme.

"The board of directors of the bank is scheduled to meet on November 29, 2018 to consider and approve issuance of fresh equity shares to its employees under Sebi (Share Based Employee Benefits) Regulations, 2014," BoB said in a regulatory filing.

The government in March 2017 had allowed public sector banks to offer stock options to their employees in order to retain experienced hands.

The scheme also aims at providing better incentives besides being a means of capital raise. Allahabad Bank has raised nearly Rs 236 crore in its maiden Employee Share Purchase Scheme (ESPS). United Bank completed the issue of around 5 crore fresh shares to employees under the scheme on August 31, 2018.

PNB will offer 10 crore shares under the scheme while Canara Bank will issue up to 6 crore equity shares to its staff to raise up to Rs 1,000 crore under ESPS. Stock of Bank of Baroda closed 1.79 per cent down at Rs 109.95 on BSE. 

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