CHENNAI: Public sector Indian Bank has raised Rs 5,000 crore through the issuance of long-term infrastructure bonds. It received a total of 88 bids amounting to Rs 13,680 crore against the total issue size of Rs 5,000 crore, Indian Bank said in a statement here on Friday.
The move was part of the bank’s efforts to mobilise resources for credit growth and refinancing of infrastructure projects, it added.
While bids for Rs 5,000 crore at a coupon of 7.2% per annum was accepted, private placement of long-term infrastructure bonds received a response at 2.7 times of the total issue size, the bank said.
These bonds have a fixed maturity of 10 years from the date of allotment. The funds raised through these securities were exempted from regulatory requirement of maintaining Statutory Liquidity Ratio (SLR) and Cash Reserve Ratio (CRR), it said.
