ICICI Bank raises Rs 475 cr via bonds

The bonds will carry a coupon rate of 8.55% per annum

The country's second-largest lender ICICI Bank today said it has allotted Basel III compliant bonds worth Rs 475 crore on private placement basis.

"The committee of the executive directors of the bank...today approved allotment of 4,750 Basel III compliant unsecured subordinated perpetual additional tier I bonds aggregating Rs 4.75 billion on private placement basis,' the bank said in a regulatory filing.

The allotment was done today, it added.

The bonds will carry a coupon rate of 8.55 per cent per annum.

ICICI Bank said the bonds will be listed on wholesale debt market segment of BSE and NSE. The bonds are rated AA+ by CARE and ICRA.

Indian banking system has been implementing Basel III standards in phases since April 1, 2013. The banks are expected to fully implement these norms by March 2019.

These norms are being implemented to mitigate concerns on potential stresses on asset quality and consequential impact on performance and profitability of banks.

Stock of the private sector lender today closed 0.88 per cent down at Rs 276 on BSE.