Central Bank of India raises Rs 500 cr by issuing bonds

State-owned Central Bank of India today said it has raised Rs 500 crore by allotting tier-II bonds to eligible investors.
"The bank has successfully raised Rs 500 crore and have allotted 5,000 bonds of Rs 10 lakh each," the bank said in a regulatory filing.
The bond holders will earn rate of return at 8.62 per cent per annum, it said.
In the form of non-convertible redeemable unsecured Basel III compliant tier-II bonds, the securities will mature in 122 months.
Globally accepted Basel III Capital Regulations require banks to improve and strengthen their capital planning.
India is implementing these standards since April 2013 and banks here are expected to be fully compliant with these norms by March 2019.

Shares of Central Bank of India closed 1.18 per cent down at Rs 91.85 on BSE.