State Bank of India (SBI), the country’s largest lender, on Tuesday raised Rs 6,051 crore at a coupon rate of 7.05 per cent through its second Basel III-compliant Tier 2 bond issuance for the current financial year (FY26).
The bonds are issued for a tenor of 10 years, with a call option after five years and on each anniversary date thereafter.
The issue attracted a robust response from investors, with bids of approximately two times against the base issue size of Rs 5,000 crore. The total number of bids received was 47, indicating participation from a diverse set of qualified institutional bidders.
The investors were across provident funds, pension funds, mutual funds, banks, etc.
C S Setty, chairman, said that wider participation and heterogeneity of bids demonstrated the trust investors place in the country’s largest bank.
Based on the response, the bank has decided to accept Rs 6,051 crore at a coupon rate of 7.05 per cent, payable annually for a tenor of 10 years, with a call option after five years and on each anniversary date thereafter.
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