Kotak Mahindra Bank to raise Rs 5,000 crore

Kotak Mahindra Bank plans to raise Rs 5,000 crore by issuing bonds to fulfil its general corporate business.

The plan is within the bank's Rs 50,000 crore borrowing limit approved last year.

The bank said in a regulatory filing that at the Board of Directors meeting held on July 21, it had sought consent of the shareholders to borrow the money.

It will issue securities "in the nature of unsecured, redeemable non-convertible debentures/bonds, in Indian/foreign currencies in the domestic and or overseas markets for an amount up to Rs 5,000 crore, for its general corporate purposes within the overall borrowings limits of the Bank, on a private placement basis", the filing said.

The money is planned to be raised in one or more tranches.

The outstanding privately placed non-convertible debentures issued by the bank currently aggregate to Rs 962 crore.

Kotak Mahindra Bank stock was trading at Rs 763.25, up 0.81%, on BSE.