State Bank of India (SBI) on Wednesday said it has raised Rs 4,000 crore by issuing Basel-III compliant debt instruments.
In a statement, SBI said it raised Rs 4,000 crore of Basel compliant additional tier 1 (AT1) bonds at coupon rate of 7.72 per cent.
"The issue garnered overwhelming response from investors with bids in excess of Rs 10,000 crore received against a base issue size of Rs 1,000 crore which is an indicator of the trust the investors place on the country's largest bank," it said.
SBI said it has decided to accept Rs 4,000 crore at a coupon of 7.72 per cent.
"This is the lowest pricing ever offered on such debt, issued by any Indian bank since the implementation of Basel III capital rules in 2013," the lender said.
The AT 1 instrument is perpetual in nature, however, it can be called back by the issuer after five years or any anniversary date thereafter.
On Wednesday, shares of SBI ended 0.87 per cent higher at Rs 429.70 on the BSE.
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