SBI on Wednesday received board approval to raise up to Rs 11,000 crore through Basel III-compliant bonds. Of the total earmarked fund-raise, the approval is for additional tier-1 (AT-1) capital up to Rs 7,000 crore, subject to the central government’s concurrence. The remaining Rs 4,000 crore will be in the form of tier-2 capital.
“The central board of the bank at its meeting held today i.e.,20.07.2022, inter alia accorded approval for raising capital by way of issuance of Basel lll compliant debt instrument in USD/INR and/or any other convertible currency, during FY23,” the bank said in a communication to the stock exchanges.
In May, SBI’s board had cleared a proposal to raise up to $2 billion through debt securities in the international market in FY23. The approval applies to long-term fund raising in a single or multiple tranches under Reg-S/144A, through a public offer or private placement of senior unsecured notes in US dollar or any other convertible currency. ENDS