TMB offers applications supported by ASBA facility

Tuticorin (TN), Feb 3 (PTI): Tamilnad Mercantile Bank Ltdtoday said it has been offering investor friendly ApplicationsSupported by Blocked Amount (ASBA) facility for customersapplying for Initial Public Offers (IPOs)/FPOs/Right Issues.

The facility, which was put in place on February 1, is aprocess in which the application money for IPOs / FPOs /Rights Issue is blocked in the applicants'' bank accountstillallotment of shares, a top bank official said.

Benefits of ASBA to investors include non-payment of moneyby cheque, easy refunds and earning interest on applicationmoney. One account can be blocked for a maximum of fiveapplications, S Selvan Rajadurai, General Manager (BusinessDevelopment of the head office here, said in a press release.

He said Securities Exchange Board of India had introducedASBA in 2008 for applying to public issues. TMB has beenrecently included in the list of ''Self Cerfified SyndicateBanks'' authorised by SEBI to undertake ASBA, he said.