Post QIP, SBI's CET1 capital rises to 11.5%; LIC invests ₹5,000 crore

SBI's recent QIP was oversubscribed 4.5 times, raising Rs 25,000 crore and boosting CET1 capital to 11.5%. LIC invested Rs 5,000 crore, increasing its stake in SBI to 9.49%

The recently concluded State Bank of India’s qualified institutional placement was oversubscribed 4.5 times and common equity Tier-I capital increased to 11.5 per cent from 10.81 per cent, the lender said in a statement.

 

SBI raised Rs 25,000 crore through the QIP, which is the largest such fundraising ever by an Indian entity.

 

“The capital will augment SBI’s CET-1 (common equity tier-1) buffer (will improve to 11.50 per cent from 10.81 per cent as on March 31, 2025), support calibrated credit growth across retail, MSME and corporate segments,” SBI said.

 

The shares were priced at Rs 817 apiece. The floor price for the QIP issue was set at Rs 811.05 apiece. SBI's shares closed on Monday at Rs 824.2 on the BSE, almost unchanged from previous close. 

 

“Foreign investors accounted for 64.3 per cent of total demand, underscoring the attractiveness of India’s growth story. Marquee long term investors received ₹88 per cent of the final allocation, including 24 per cent of the issue size placed with foreign long-term investors,” it further said. Leading domestic investors allotted two thirds of the issue.

 

State-owned Life Insurance Corporation (LIC) has invested Rs 5,000 crore in the State Bank of India’s Rs 25,000 crore qualified institutional placement (QIP), the insurer said in an exchange filing on Monday. As a result, LIC’s shareholding in the bank has increased to 9.49 per cent from 9.21 per cent earlier.