SBI sets floor price at Rs 811.05 for its Rs 20,000 crore bonds

New Delhi, Jul 16: State Bank of India (SBI), the country’s largest public sector lender, on Wednesday set the floor price at Rs 811.05 per equity share for its Rs 20,000 crore bonds.

The board director of the bank approved the proposal to raise the amount through issuing bonds to domestic investors.

The issue’s subscription period began on Wednesday after the bank’s board of directors approved the fundraising during a meeting on Wednesday, the public sector lender informed exchanges.

The floor price is 2.3 per cent less than the closing price of SBI shares on the BSE on Wednesday. The scrip settled at Rs 831.55, up 1.81 per cent from the previous close.

The biggest lender in India confirmed in a separate regulatory filing that the Central Board authorised the issuance of ‘Basel III-compliant Additional Tier 1 and Tier 2 bonds’ with a maximum value of Rs 20,000 crore for the current fiscal.