Oriental Bank raises Rs 500-crore capital
Date: 20-09-2010Oriental Bank of Commerce (OBC) has raised capital of Rs 500 crore to fund business growth and strengthen its capital adequacy. Of the Rs 500-crore capital raised, the Tier-I capital component stood at Rs 300 crore and the Tier-II capital was Rs 200 crore.
For Tier-I capital raising, perpetual debt instruments with annual coupon of 9.05 per cent was issued. Upper Tier II bonds with annual coupon of 8.68 per cent have also been issued for raising Rs 200 crore of Tier II capital. As of end-June, OBC had a capital adequacy of 12.44 per cent (Tier I of 9.19 per cent and Tier II of 3.25 per cent).crackcrack