IDBI Bank, the public sector lender is reportedly planning to raise Rs 2,600 crore by selling infrastructure bonds with a 10-year maturity. The bank is likely to finalise the bond sales on January 06 as it is looking to obtain a better pricing. Earlier in September 2014, the bank raised Rs 1,000 crore by issuing infrastructure bonds. The coupon or interest rate was at 9.5% with similar maturity. This time, the bank would be better-off with cheaper rates as the benchmark 10-year government bond yield is now trading 64-68 basis points lower compared to September 2014.
IDBI Bank is a Universal Bank with its operations driven by a cutting edge core Banking IT platform. The Bank offers personalized banking and financial solutions to its clients in the retail and corporate banking arena through its large network of Branches and ATMs, spread across length and breadth of India.
