State Bank of India has raised ₹10,000 crore by issuing 15-year infrastructure bonds at a coupon rate of 7.36 per cent.
This is the bank’s second infrastructure bond issue in about a fortnight. Last month, it raised ₹10,000 crore at a coupon rate of 7.36 per cent.
The latest bond issue, which is the bank’s sixth ever infrastructure bond issue, received bids of over ₹18,145 crore and was subscribed approximately 3.6 times over the base issue size of ₹5,000 crore, the bank said in a statement. Subscribed.
The bond proceeds will be used to raise long-term resources to finance infrastructure and affordable housing segment.
Banks received bids from 120 investors, including provident funds, pension funds, insurance companies, mutual funds, corporates etc.
The instrument is rated AAA with a stable outlook. With the current issuance, the total outstanding long-term bonds issued by the bank are ₹59,718 crore.
SBI Chairman Dinesh Kumar KharaSaid that this issuance will help develop the long-term bond curve and encourage other banks to issue long-term bonds.
(TagstoTranslate)SBI(T)State Bank of India(T)₹10(T)000 crore(T)15-year infrastructure bond(T)7.36 per cent coupon rate(T)3.6x(T)Long-term oversubscribed infrastructure Resources for (T)AAA Rating
