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Vijaya Bank raises Rs 250 cr

The bank issued 2,500 bonds with a face value of Rs 10 lakh each to augment its Tier-II capital under Basel-III norms

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BS Reporter Bangalore
Last Updated : Dec 20 2013 | 11:45 PM IST
Bangalore-based public sector lender Vijaya Bank today raised Rs 250 crore through private placement of bonds.

The bank issued 2,500 bonds with a face value of Rs 10 lakh each to augment its Tier-II capital under Basel-III norms.

The issue, which opened on December 17 closed today. The issue was fully subscribed by the investors.

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According to an official of the Bank, three subscribers - Axis Bank (Rs 200 crore), Indian Bank Pension Fund (Rs 10 crore) and Trust Investment Advisors Pvt Ltd, Mumbai (Rs 40 crore) - subscribed to the entire bond issue.

The bonds are listed on the National Stock Exchange. They carry a coupon rate of 9.73 per cent with a tenor of 10 years.

Vijaya Bank has a capital adequacy ratio of 11.01 per cent under Basel-II and 10.63 per cent under Basel-III as on September 30, 2013.

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First Published: Dec 20 2013 | 8:23 PM IST

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