LIC may Bail out Fund-starved Banks

DENA, SYNDICATE MAY SOON SELL SHARES

Sandwiched between an urgent need for capital and financially wrecked government, small state-run banks will knock on the doors of the Life Insurance Corp as they prepare to sell new shares to raise funds, reports Sangita Mehta from Mumbai. Dena Bank and Syndicate Bank may be first among nearly a dozen small PSU banks that will sell shares in the next few months to raise a few thousand crores.