BOI to raise up to Rs 2,500 cr in capital via AT1 bonds for biz growth

Lender's board to meet on November 4 to consider raising capital in one or more tranches

Public sector lender Bank of India plans to raise up to Rs 2,500 crore in capital through additional tier-I bonds (AT1) bonds to support business growth.

The board of directors is meeting on November 4 to consider raising the capital in one or more tranches, BOI informed BSE.

There is investor interest in AT1 instruments of banks due to or attractive coupons. Last month, the country's largest lender State Bank of India raised India’s largest lender Rs 6,872 crore at a cut-off of 7.75 per cent through AT1 bonds.

As of June 30, 2022, BOI’s capital adequacy stood at 15.61 per cent with