Union Bank plans to raise up to $2 bn via MTN

The bank would raise capital through upper Tier II and hybrid tier I instruments over a period of time, depending upon its requirements and market conditions. The money would be utilised for the bank's expansion plans.

The Mumbai-based public sector bank has plans to expand overseas.

It has a presence in Shanghai and Abu Dhabi and plans to launch operations in Hong Kong. Moreover, the bank intends to set up a network in the United Kingdom, Canada, New Zealand, Australia and South Africa.

 

Meanwhile, Moody's Investors Service has assigned a Baa2 rating to the foreign currency senior, subordinated and junior subordinated notes to be issued by Union Bank of India under its MTN programme. At the same time, Moody's has given a Baa3 rating to perpetual non-cumulative notes to be issued under the same programme.

Standard & Poor's Ratings Services, another global rating agency, assigned