Canara Bank to raise Rs 3,000 cr in AT1, tier-II capital in H2FY23

The bank, which aims to keep capital adequacy at the 16% and above level, has already raised Rs 6,000 cr via these instruments in H1

Canara Bank
Premium

Referring to its capital adequacy profile, the Canara Bank officials said many peer banks including private lenders hold high capital adequacy ratios

Abhijit Lele Mumbai
Public sector lender Canara Bank plans to raise up to Rs 3,000 crore in capital through additional tier I (AT1) and tier II bonds in second half (October 2022-March 2023) to support elevated growth in credit. The bank, which is looking to keep capital adequacy at 16 per cent and above level, has already raised Rs 6,000 crore via these instruments in the first half.

Early this month it raised Rs 2,000 crore in capital via AT1 bonds at a coupon rate of 7.99 per cent. This was 25 basis points lower than the rate of 8.24 per cent

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Sep 25 2022 | 6:50 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com