Syndicate Bank may raise Rs500 cr from bonds

Syndicate Bank may raise Rs500 cr from bonds

Kolkata: Syndicate Bank said that it may raise about up to Rs500 crore through subordinated bonds to meet business growth and capital requirement.

The bank was also looking at 20% growth in credit and advances during the current fiscal.

“The bank would raise Rs300-500 crore if required," Syndicate Bank Chairman and Managing Director George Joseph said.

He said that the bank had plans to float a follow-on offer and go for qualified institutional placement (QIP) to raise funds, but had to abandon the plans due to market conditions.

“The bank is looking at 20% growth in credit and advances during the current fiscal," he said on the sidelines of Banking 2008 organised by CII.

“With a capital adequacy ratio of 11.55%, the liquidity position of the bank was comfortable," Joseph said.

The bank yesterday lowered PLR by 75 basis points to 13.25%.

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