New Delhi, July 23 -- Indian Overseas Bank (IOB) has wiped out nearly Rs.20,000 crore of accumulated losses, completing a major balance-sheet clean-up that has made the state-owned lender eligible to declare dividends for the first time in years, said its top official.

Riding on a stronger balance sheet, the bank is now preparing to raise up to Rs.5,000 crore through a qualified institutional placement (QIP) of shares in the second half of FY27 after obtaining the remaining statutory and regulatory approvals.

"Approximately Rs.20,000 crore of accumulated losses were there as of March 2020. Every year we have been reducing it through net profit generation. Now, as we speak, this accumulated loss of around Rs.20,000 crore has been reduced...