SBI raises Rs 7,000 crore through Basel III compliant bonds

State Bank of India (SBI) has raised Rs 7,000 crore by issuing 70,000 Basel III compliant non-convertible, taxable, redeemable debt instruments in the nature of debentures to bond subscribers. The Committee of Directors for Capital Raising at its meeting of held on September 21, 2020 has accorded its approval to allot the same.

The allotment of bonds to the subscribers took place on the same date i.e. September 21, 2020. The bonds qualify as tier II capital of the bank, and has face value of Rs 10 lakh each, bearing coupon rate of 6.24 percent per annum payable annually for a tenor of 10 years.

SBI is the country’s largest lender and it offers a wide range of services in the Personal Banking, Agriculture/ Rural, NRI services, SME and Corporate Banking etc.

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