SBI raises Rs 10,000 cr through infra bond sale State Bank of India (SBI) on Friday announced that it has raised Rs 10,000 crore through an infrastructure bond issue. The country’s largest lender will be paying a coupon rate of 7.49 per cent on the bonds, as per a statement. SBI had launched the issue with an aim to raise Rs 4,000 crore, and the same was oversubscribed by over five times, it said, adding that 134 bids worth Rs 21,045 crore were received. The investors were across provident funds, pension funds, insurance companies, mutual funds and corporates, the statement said. The coupon is 0.12 per cent over the corresponding FBIL G-Sec par curve and marginally better than the 0.13 per cent it had to promise at the last infra bond issuance in August 2023, it added. It had raised Rs 10,000 crore from the route in August, and with the current issuance, the total outstanding long-term bonds issued by the bank is Rs 39,718 crore.
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Analysts at Hem Securities, however, had positive views with a 鈥楽ubscribe鈥 rating. 鈥淐ompany is bringing the issue at price band of Rs 310-326 per share at p/e multiple of 21x on 9 Months FY22 EPS basis. Company with international Accreditations and product approvals is specialized in production of Stainless-Steel Pipes and Tubes with multi-fold demand of its Products & Customer Diversification.Hence we recommend 鈥淪ubscribe鈥 on issue,鈥 Hem Securities had said earlier.