SBI to raise Rs 2,000 cr from bonds

Tags: SBI, News
State Bank of India (SBI) today said it plans to raise Rs 2,000 crore


from bonds by way of private placement.

The executive committee of the central board of the bank has approved allotment of Basel III compliant Tier 2 bonds of Rs 2,000 crore, SBI said in a filing to the BSE.

The bonds with tenure of 120 months (10 year bullet) carries a coupon 9.69 per cent, it said.

The issuance of bonds would be by way of private placement, it said.

Besides, the meeting also approved the preferential issue of 1.12 lakh crore equity shares of Rs 10 each to the government up to Rs 2,000 crore.

The bank has fixed an issue price of Rs 1,782.74 per share for a preferential stock allotment to the government as part of the capital infusion plan for this fiscal.

The SBI board had approved the preferential allotment in October.

The additional funds will enable the bank to support national and international banking operations undertaken through its subsidiaries and associates.

Last fiscal, the government infused Rs 3,004 crore in the bank.

Post new comment

E-mail ID will not be published
This question is for testing whether you are a human visitor and to prevent automated spam submissions.


  • The government might not get the timing right for its massive share sale plan

    A common thread binding the BJP’s first budget with the last three UPA budgets is the aggressive disinvestments targets set to mop up additional rev


Stay informed on our latest news!


GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India


Tushar Gandhi

Welfare must be humanitarian not political

We are a very political people. We politicise and corrupt ...

Purnendu Ghosh

How to distinguish a need from a want?

The day when the annual budget is announced is one ...

Shona Adhikari

Decades apart, yet a common ground in fine art

Today’s column is about two artists born many decades apart, ...


William D. Green

Chairman & CEO, Accenture