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SBI raises ₹4,691 crore with first AT-1 bond issue of FY27
The AT-1 sale was oversubscribed with bids more than twice the base size of ₹3,000 crore, and it carries a 7.75% coupon with a five-year call option.
State Bank of India (SBI) raised ₹4,691 crore through its first additional tier-1 (AT-1) bond issue of the current fiscal year, the lender said in a press statement.
The coupon rate was set at 7.75%, and the bonds include a five-year call option. The issue had a base size of ₹3,000 crore with a greenshoe option of ₹2,000 crore.
SBI said investor demand was strong, with bids exceeding two times the base issue size of ₹3,000 crore, and 89 total bids from a range of qualified institutional bidders including provident funds, pension funds, mutual funds, and banks.
The bank said the fundraising diversifies its long-term non-equity regulatory capital, and it follows its plan approved on 18 June to raise up to ₹60,000 crore in FY27 through various debt instruments.