Canara Bank shares in focus as its board approves plan to raise capital up to ₹8,500 crore for FY27

“The Stock Exchanges are hereby informed that the Board of Directors of the Bank in its meeting held today on 02.06.2026, has approved the Capital Raising Plan of the Bank for the financial year 2026-27 amounting upto ₹8,500 Crore by way of Debt Instruments (Additional Tier I/Tier II Bonds),” the regulator filing read.

Under the plan, Canara Bank will raise capital up to ₹4,500 crore through Basel III-compliant Additional Tier I Bonds and ₹4,000 crore via Tier II Bonds for FY27, subject to market conditions and necessary approvals.

Additional Tier-1 (AT1) bonds are high-risk, hybrid instruments issued by banks to strengthen capital under Basel III norms. They offer higher interest but come with non-obvious risks like perpetual tenure, skipped coupons, and complete write-offs during financial stress.

Tier-2 bonds are long-term subordinated debt instruments that banks issue to strengthen their capital base.

Brajesh Kumar Singh named MD & CEO of Canara Bank

In a separate regulatory filing dated Monday, the Bank said that the Government of India appointed Bajesh Kumar Singh as the Managing Director & Chief Executive Officer (CEO) of Canara Bank, with effect from June 1, 2026.

He will remain the MD & CEO of the bank till the date of his attaining the age of superannuation, i.e., April 30, 2029, or until further orders, whichever is earlier, it added.

Canara Bank Q4 results

The Bank reported a 9.94% year-on-year (YoY) decline in its standalone net profit to ₹4,505.57 crore in the fourth quarter of the 2025-26 financial year (Q4 FY26), compared with ₹5,002.66 crore in the year-ago period.

The Bank’s asset quality improved, as its gross non-performing assets (GNPA) contracted to 1.84% during the quarter under review, from 2.94% in the March quarter of the 2024-25 fiscal year (Q4 FY25) and 2.08% in the quarter-ago period.

Its net non-performing assets (NNPA) stood at 0.43% for the January-March quarter of FY26, down from 0.70% last year and 0.47% in Q3 FY26.

Canara Bank stock performance

Shares of Canara Bank closed 0.88% higher at ₹129.08 per unit on the National Stock Exchange (NSE) on Tuesday, June 2, ahead of the capital raising plan approval announcement.

The scrip lost 3% in the past week and 4% over the month. On a year-to-date basis, it has declined 16%.

While the stock hit a 52-week high of ₹162.89 per equity share on February 26, 2026, it touched a year’s low of ₹103.55 apiece on August 29, 2025.

Canara Bank has a total market capitalisation of ₹1.17 lakh crore as of June 2, 2026, according to data on the NSE.