The South Indian Bank Limited (BSE: 532218) is looking to offer minority stake to a private equity investor in the coming months as the lender looks to fulfill its 2020 vision of becoming a 'retail banking power house' , multiple sources with knowledge of the matter told Moneycontrol. "The management is open to the idea of raising capital by divesting a minority stake in the company to a strong, long-term focused, private equity investor. These plans are at a nascent stage and the route hasn't been finalised yet," one of the sources told Moneycontrol. "South Indian Bank needs capital and would look at raising at least INR 3 billion to grow its retail & MSME book. Once the market conditions improve, the company could go in for a preferential allotment of shares if it finalises the PE fund route," added a second source. Lavender Investments Ltd holds 4.91% stake in the bank. Other investors include Polaris Capital Management, LLC and IVA (International Value Advisors).