State-owned Union Bank of India Thursday said it would raise up to Rs 600 crore by issuing shares to its employees under the staff stock purchase scheme.

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The stakeholders relationship committee of the bank in its meeting on Thursday approved the 'Union Bank of India-Employee Share Purchase Scheme' to raise equity capital aggregating up to Rs 600 crore by offering up to 8 crore new equity shares to the eligible employees of the bank, it said in a regulatory filing.

On Wednesday, Syndicate Bank had said it would raise up to Rs 500 crore by issuing shares to its employees under the employee stock purchase scheme.

Vijaya Bank had also said it would issue up to 5 crore fresh equity shares to its employees in one or multiple tranches under Vijaya Bank ESPS.

Shares of Union Bank closed 0.57 per cent up at Rs 88.85 apiece on the BSE.