Thank you for the thesis. I agree with most part of your post. However, i think the bank can still raise Tier-2 capital which is just 2,618 cr as of now.
I think it can raise 2,400 cr more without any issue. I know the interest rates have increased quite a bit but if it doesn’t want to dilute equity, this can be a solution.
If the bank feels reverse merger will take time or if it wants the share price to appreciate before further equity infusion, it can still raise Tier-2 as it did earlier this year.
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