The Federal Bank announced that it has raised ₹1,500 crore through its first-ever issue of callable, unsecured long-term infrastructure bonds.

The total issue size included a base issue of ₹750 crore, along with an oversubscription option of up to an additional ₹750 crore.

“The response has been overwhelming,” the bank said on November 12, 2024. The bonds have been issued on a private placement basis and will be listed on the National Stock Exchange (NSE), in accordance with the listing obligations and requirements of SEBI disclosure.

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The bank’s Credit, Investment and Capital Raising Committee approved the issuance of these infrastructure bonds at a meeting earlier today, aimed at strengthening the bank’s capital base and support long-term infrastructure financing.

THE State Bank of India (SBI) is also reportedly preparing to issue its third round of 15-year infrastructure bonds before the end of this month, aiming to raise up to ₹10,000 crore to meet credit needs in sectors such as steel, roads and renewable energy, according to sources. cited by Reuters.