SBI Raises Rs 10,000 Crore via Infrastructure Bonds

Share on:

By Rediff Money Desk, Mumbai   Jul 10, 2024 16:50

SBI has raised an additional Rs 10,000 crore through infrastructure bonds, bringing its total outstanding long-term bonds to Rs 59,718 crore. The proceeds will be used to fund infrastructure and affordable housing projects.
SBI Raises Rs 10,000 Crore via Infrastructure Bonds
Photograph: Shailesh Andrade/Reuters
Mumbai, Jul 10 (PTI) SBI on Wednesday announced raising Rs 10,000 crore through issuance of infrastructure bonds.

The proceeds of bonds will be utilized in enhancing long-term resources for funding infrastructure and affordable housing segment, SBI said in a statement.

The fresh funding follows a similar development around a fortnight back, when the country's largest lender had raised Rs 10,000 crore through infrastructure bond issuance.

The coupon rate for the latest issue was 7.36 per cent payable annually during the 15 year tenor, the same as the last issuance.

The state-owned lender had launched the issue to raise Rs 5,000 crore, and ended up raising Rs 10,000 crore courtesy the high investor interest and the greenshoe option, it said.

The issue was oversubscribed by 3.6 times, with bids in excess of Rs 18,145 crore being received, it said.

A total of 120 investors, including provident funds, pension funds, insurance companies, mutual funds, corporates, participated in the funding, it said.

SBI chairman Dinesh Khara said the issuance will help in developing a long-term bond curve and encourage other banks to issue bonds of longer tenor.

With the current issuance, the total outstanding long-term bonds issued by the bank goes up to Rs 59,718 crore, the statement said.
Source: PTI
DISCLAIMER - This article is from a syndicated feed. The original source is responsible for accuracy, views & content ownership. Views expressed may not reflect those of India Limited.


  • Company Name
  • Price
  • Volume

More »

Moneywiz Live!