Bank of India Secures Major Funding for Infrastructure

State-owned Bank of India has raised Rs 10,000 crore by issuing long-term infrastructure bonds at a 7.23% coupon rate. Initially aiming for Rs 5,000 crore with an option for another Rs 5,000 crore, the bank received 83 bids totaling Rs 15,305 crore and accepted 37 bids.

The State-owned Bank of India has successfully raised Rs 10,000 crore by issuing long-term infrastructure bonds at an annual coupon rate of 7.23%, as reported on Tuesday.

The bank initially set a base issue size of Rs 5,000 crore with an additional green shoe option of another Rs 5,000 crore. The overwhelming response saw 83 bids totaling Rs 15,305 crore.

Ultimately, the lender accepted 37 bids, amounting to the targeted Rs 10,000 crore. The funds will support long-term infrastructure projects and affordable housing, adhering to RBI guidelines.

(With inputs from agencies.)