Axis Bank to raise Rs 3,000cr via debt instruments

Axis Bank, a leading private sector bank, plans to raise capital worth Rs 3,000 crore in the FY 2009-10 through tier I and II debt instruments to shore up its capital adequacy ratio.

The board of directors of the banks have approved the proposal, said the bank in a statement to the Bombay Stock Exchange.

The bank can raise funds in more than one tranche. It plans to raise Rs 500 crore by way of tier I capital and the balance Rs 2,500 crore, will be raised through tier II capital.

At the end of March 31, 2009 the bank’s capital adequacy stood at 13.69 per cent. The tier I CAR was 9.26 per cent.

The banks stock was quoting at 751.50 down 4 per cent during the intra-day trading on BSE.