SBI raises $300 mn via Formosa bonds
The bond is benchmarked against the 5-year US treasury and priced at a spread of 100 basis points over the benchmark
![SBI sold 4.5 per cent stake in SBI Life Insurance in September as part of its effort to increase public float as per the regulation. SBI sold 4.5 per cent stake in SBI Life Insurance in September as part of its effort to increase public float as per the regulation.](https://s3.ap-southeast-1.amazonaws.com/images.deccanchronicle.com/dc-Cover-8oel2hsus1m7e7vg3rv2cs2fr0-20180408141055.Medi.jpeg)
The top 5 sectors in which the scheme is invested in are IT, consumer discretionary, health care, financials, and industrials. Representational image
Mumbai: The country’s largest lender State Bank of India (SBI) through its London branch raised $300 million of ‘Regulation S’ Formosa bonds at a coupon rate of 2.49 per cent. The bond is benchmarked against the 5-year US treasury and priced at a spread of 100 basis points over the benchmark.
The bonds will be listed on Taipei Exchange, Singapore Exchange Securities Trading and India International Exchange IFSC. Formosas are foreign-currency bonds, raised in Taiwan and generally listed on the Taipei exchange.
SBI said the transaction received an overwhelming response and saw strong interest from investors across geographies.
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