India New Issue-Punjab National Bank sets 7.89% coupon for Tier II bonds - traders

CARE Ratings

30/11/2022 07:04

MUMBAI, Nov 30 (Reuters) - India's Punjab National Bank
 PNBK.NS  has set 7.89% coupon for Basel III-compliant Tier II
bonds maturing in 15 years, three merchant bankers said on
Wednesday. 
    The state-run lender had invited coupon and commitment bids
from bankers and investors earlier in the day and has accepted
bids worth 40 billion rupees ($490.23 million), they said.
    The notes are rated AA+ by CARE Ratings, and the issue will
close for subscription on Thursday.
    The issue has a call option at the end of 10 years. 
    In September, the bank had raised 6.58 billion rupees
through Basel III-compliant additional Tier I perpetual bonds at
an annual coupon of 8.30%. The issue has a call option at the
end of five years.
    ($1 = 81.5950 Indian rupees)
 (Reporting by Dharamraj Dhutia and Bhakti Tambe; Editing by
Sherry Jacob-Phillips)
 ((Dharamraj.dhutia@tr.com))