On Tuesday, Canara Bank said it raised Rs 2,000 crore this month by issuing additional tier 1 bonds in line with Basel III.

The bank issued an additional Rs 2,000 crore Tier 1 bond on July 15, 2022.

In a regulatory filing, Canara Bank said: “The bank received tenders totalling Rs 5,719 crore, of which the entire issue of Rs 2,000 crore was accepted at a rate of 8.24%”.

The state-owned bank said it issued 2,000 bonds to 21 assignees on July 19, 2022.

The non-convertible, perpetual, taxable, subordinated, fully paid, Basel III compliant Additional Tier 1 bond has a coupon rate of 8.24% per annum.

Under the Basel III capital regulations, global banks must improve and strengthen their capital planning processes.
Shares in Canara Bank were up 4.03 per cent at Rs 223.15 per share at the close on the BSE.