NEW DELHI: Shares of State Bank of India added over 1 per cent in early Mumbai trading Tuesday as the country’s largest lender said that it has raised Rs 6,000 crore through the issuance of Basel III compliant bonds.
At 09:45 hours (IST) SBI’s share price was at Rs 503.10 on the National Stock Exchange, registering a gain of 1.03% from previous close.
In June, the bank had received an approval from its central board for the raising of fresh Additional Tier 1 capital of up to Rs 14,000 crore.
The bonds, which are non-convertible, taxable, perpetual, subordinated and unsecured, have a face value of Rs 1 crore each and will bear a coupon on 7.72 per cent annually, SBI said in an exchange filing.
Perpetual bonds do not carry a date of redemption or maturity and hence may be treated as equity and not debt.
