Union Bank raises Rs 500 cr through bonds

State-run Union Bank of India (UBI) today said it has raised Rs 500 crore through the issue of non- convertible bonds in the market.

"The bank has raised additional capital to the extent of Rs 500 crore by issue of unsecured redeemable non-convertible subordinated upper tier II bonds," UBI said in a filing to the Bombay Stock Exchange (BSE).

The issue opened on January 19 and closed on January 22, the bank said.

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

The tenor of the bonds is 15 years and has call option after completion of 10 years, UBI added.

 

Shares of UBI settled at Rs 260.15, down by 1.14 per cent from previous close on the BSE.