Indian Bank raises Rs 1.1 bn through Basel-III-compliant Tier-2 bonds

Indian Bank raised another Rs 1.1 billion under Basel-III-compliant Tier-2 bonds on Tuesday, as its board issued its approval to raise up to Rs 10 billion in one or more tranches.   

The board had earlier approved the raising of Basel-III-compliant AT1 or Tier-2 bonds up to Rs 10 billion. On October 30, the bank raised Rs 2.9 billion under Basel-III-compliant Tier-2 bonds.  

On Tuesday, it raised around Rs 1.10 billion under the bonds, with a coupon rate of 8.85 per cent per annum, a tenure of 10 years and call option after completion of five years, on private placement basis.