SBI Plans To Raise Up To Rs 5,000 Crore Via Tier-I Bond
The State Bank of India plans to raise up to Rs 5,000 crore through an additional Tier-I bond issue and has invited bids for the same on Wednesday, three people with knowledge about the matter told NDTV Profit.
The issue has a base size of Rs 2,000 crore and a greenshoe option of Rs 3,000 crore. Bidding for this bond will take place on the BSE's electronic platform from 10:30 am to 11:30 am.
The bonds, rated 'AA+' by Crisil Ratings, carry a call option after 10 years, the above-mentioned people said. The allotment date of this bond issue is Thursday.
SBI Capital Markets Ltd. is the arranger for this bond issue. This is SBI's first Tier-I bond issue in the current financial year.
Market participants have been keenly watching out SBI's Tier-I bond issue as it will set precedence for other banks in the market, especially after the Securities Exchange Board of India earlier this year eased the valuation norms on such papers.
Basel-III compliant Tier-I bonds are essentially perpetual bonds that have trigger points linked to a bank's capital and earnings. If these triggers are breached, it can lead to interest payments being stopped. This situation could even lead to the conversion of the bond into equity.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
-
Indians Are Travelling, But Not Every Journey Is A Holiday | The Week In Whys
Pilgrims, patients and working women are the real travellers, and the system hasn't quite caught up with them.
-
Getting To Work Costs Women More | The Reason Why
It is not just about women paying more than men. It is about women paying much more in cities than in villages.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
-
Joining The Dots | Dark Skies, Steady Diya: Why Hope Holds This Diwali
With war, a weak rupee and foreign outflows weighing on sentiment, policymakers at the NDTV World Summit and market veterans at NDTV Profit Ignite: Diwali Edition offered the same advice: stay invested and filter out the noise.
-
The Curious Case of Equitas Small Finance Bank And A CEO Who Quit For Stock
PN Vasudevan believes persistent investor concerns over a perceived conflict of interest had become a governance overhang on Equitas Small Finance Bank's stock, even as the lender improved profitability and asset quality.
