Bank of Baroda has raised Rs 1,000 crore by issuing bonds

In Banking and Finance
December 7, 2016

Public sector player Bank of Baroda has raised Rs. 1,000 crore by issuing bonds that are compliant with global capital adequacy norms or Basel III. The bank has issued and allotted bonds with issue size of Rs. 1,000 crore on December 2, 2016, it said in a regulatory filing. The bonds will carry interest rate of 8.5 per cent. The bonds are in nature of unsecured perpetual bonds.

Another state owned lender, State Bank of Travancore, said it will raise Rs. 600 crore by issuing such bonds.
The Executive Committee of the Board of Directors of the Bank is scheduled to meet on December 7 to consider and approve, the raising of up to Rs. 600 crore by way of issue of Basel III complaint Additional Tier I Bonds.
Bank of Baroda is currently trading at Rs. 162.45, up by 1.45 points or 0.90 % from its previous closing of Rs. 161.00 on the BSE
The promoters holding in the company stood at 59.24%, while Institutions and Non-Institutions held 33.65% and 7.11% respectively.

Bank of Baroda, one of India’s leading public-sector banks, has raised Rs 1000 crore by issuing bonds that are compliant with global capital adequacy norms or Basel III.