SBI lists maiden issue of $300-mn Formosa bonds on India INX

'First successful issuance of Formosa Bond by any Indian commercial bank, is a testimony of the confidence reposed by the overseas investors into India's growth story and also in SBI,' says chairman

The State Bank of India's recent fundraising of $300 million through issuance of Formosa Bonds is a testimony of the confidence reposed by the overseas investors in the country's growth story, its Chairman Dinesh Khara said on Friday.

The lender is the first Indian entity to raise money through Formosa Bond, which is a bond issued in Taiwan.

"This first successful issuance of Formosa Bond by any Indian commercial bank, is a testimony of the confidence reposed by the overseas investors into India's growth story and also in SBI, in particular.

"This is a reflection of India's March towards the next step of being a developed country," Khara said at the listing ceremony of the Formosa Bonds on India INX.

He said the issuance is a step further in the direction of the globalization of the world, when a bank could raise money for those markets which have remained untapped for several years.

"It very clearly reflects how far India has reached in terms of the acceptability with all the international investors," Khara said.

The lender had said that a wide range of investors such as supranational agencies, assets managers, private bankers and financial institutions have invested in the issue.

On the back of strong demand, the price guidance was revised from T+130 bps area to T+100 bps.