Dena Bank raises Rs 1,000 crore Basel-III compliant bonds

Public sector lender Dena Bank today said it has raised Rs 1,000 crore through an issuance of Basel-III compliant tier I bonds.
In December, the bank had said it will raise up to Rs 1,500 crore additional tier-I capital in one or more tranches through one or more instruments.
"Dena Bank has now informed BSE that now the bank on January 29, 2016 raised Rs 1,000 crore of unsecured subordinated, perpetual, Basel-III compliant additional tier 1, non-convertible taxable bonds", it said in a BSE filing.
The bonds are in the nature of debentures of face value of Rs 10 lakh each at par aggregating Rs 1,000 crore, it added.

The domestic banks have to comply with the Basel-III standards by March 2019.
RBI has introduced the Basel-III norms in a phased manner since 2013.

The norms are aimed to improve and strengthen regulation, supervision and risk management within the banking sector.
Several banks, recently, have raised capital to meet the requirements.
A Fitch Ratings report in December had said banks will need about USD 140 billion to ensure full compliance with the Basel-III norms by 2018-19.
Shares of Dena Bank ended at Rs 36.05 on BSE, down 0.14 per cent from the previous closing.