All these warrants were given free-of-cost to the share holders of BoR some time ago with a promise that the same would be converted without charging any premium. The stock (face value Rs 10) is currently hovering around Rs 18. After the conversion of warrants, equity capital of BoR will increase from Rs 63 crore to Rs 108 crore. The private sector bank's performance has improved during the current fiscal. For the quarter ended December 2000, the bank posted a net profit of Rs 25 crore.

According to the bank's managing director K Bhattacharya, BoR's accumulated losses of around Rs 142 crore would be wiped out in the next two years. "We have also recovered a substantial part of the NPAs," he said.

Deposits of BoR had risen to Rs 3,400 crore while the advances also increased to Rs 1,800 crore. The credit-deposit ratio was reported at 58 per cent, according to him.