Federal Bank announced that it has entered into definitive agreements for Fedfina to issue fresh equity shares, subject to statutory and regulatory approval, constituting 26% of the post-issue paid up share capital of Fedfina, to a fund managed by True North Enterprise Private.

Shares of the bank declined Rs 0.4, or 0.44%, to trade at Rs 89.65. The total volume of shares traded was 398,445 at the BSE (10.46 a.m., Monday).