State Bank of India taps Taiwanese market for $300 mn via Formosa bonds

SBI Managing Director Ashwini Kumar Tewari said Formosa issuance demonstrates the strong investor base the bank has created for itself in offshore capital markets

State Bank of India has raised $300 million from the Taiw­anese market through maiden issue of Formosa bonds at a coupon of 2.49 per cent.

Strong demand helped the country’s largest bank tighten pricing by 30 basis points (from initial guidance of T+130 bps area to final pricing of T+100 bps), the lender said in a statement on Thursday. The bank received the tightest spread ever for a five-year public issuance by an Indian financial institution, it said.

The bonds will be issued through its London branch as of January 26 and will be listed on Taipei Exchange (TPEx), Singapore Stock Exchange,