India’s largest public sector lender the State Bank of India (SBI) has planned to raise up to Rs 25,000 crore during the financial year 2018-2019.
The sum includes raising of around Rs 5,000 crore via bonds to meet capital adequacy norms.
During its regulatory filing, SBI also informed that its central board has given approval to two proposals of the bank.
The board has granted agreement to the bank to raise Basel III compliant Tier 2 bonds up to Rs 5,000 crore in $ /domestic currency to overseas and/or Indian investors during 2018-19, through a public offer/private placement.
In addition, the lender also received approval for an enabling resolution for raising equity capital.
The resolution provides for raising “equity capital up to an amount of Rs 20,000 crore during FY2018-19 from the market by way of FPO/ QIP/ Preferential allotment/ Rights lssue/ any other mode or a combination of these, to be decided at the opportune time”, said the bank in its filing.