Mumbai: India's third-largest private sector lender, Axis Bank, is seeking shareholder approval to raise up to Rs 55,000 crore in FY27, comprising Rs 20,000 crore through equity instruments and Rs 35,000 crore through debt issuances.
The bank will seek an enabling resolution at its annual general meeting scheduled for July 31
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According to the AGM notice, the lender plans to raise up to Rs 20,000 crore through the issuance of equity shares, depository receipts and/or other instruments representing equity shares or convertible securities linked to equity. In addition, it has proposed raising up to Rs 35,000 crore through the issuance of debt securities in Indian rupees or foreign currency on a private placement basis.
The capital-raising plans come as the bank continues to strengthen its balance sheet through a sustained focus on deposit mobilisation.
"The Bank's deposit franchise continues to strengthen, anchored in a dual-track strategy that combines high-quality New-to-Bank (NTB) acquisition with deeper engagement across the Existing-to-Bank (ETB) base," Managing Director and Chief Executive Officer Amitabh Chaudhry said in his letter to shareholders.
During the year, the bank sharpened its focus on premium customer segments and high-potential cohorts, including senior citizens, professionals, self-employed individuals, homemakers and women, to drive the acquisition of granular retail deposits.
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According to Chaudhry, premium NTB acquisitions grew 25% year-on-year, while premium salary account acquisitions rose 38% during the year. Newly acquired customers also demonstrated stronger engagement, with average NTB balances increasing 53% year-on-year and products per customer improving 24%.
"In parallel, our Existing-to-Bank franchise has continued to scale with greater consistency, driven by a clear pivot towards deepening relationships and enhancing customer lifetime value," Chaudhry said. "Through data-driven segmentation, personalised engagement and lifecycle-based campaigns, we are progressively transforming transactional accounts into more active and enduring banking relationships."
The bank's salary account franchise expanded 18% year-on-year, supported by a higher wallet share among existing corporate clients and continued success in onboarding new salary mandates.
The lender said the growth reflects the effectiveness of its premium-led sourcing strategy, supported by sharper customer selection, improved conversion rates and a more calibrated acquisition framework.
