Public sector lender Dena Bank raised Rs 125 crore through Tier-I capital funds as perpetual bonds. The bank intends to use the fund to enhance long term resources to meet its future capital adequacy ratio requirements. At present, CAR of the lender is at 12.07 per cent.
The bonds are of the nature of promissory notes on private placement basis with a coupon of 9 per cent payable annually.
The issue was opened on May 20, 2009 and closed on May 26, 2009. The issue was fully subscribed aggregating to Rs 125 crore. The bank received and retained subscription of Rs 125 crore.
The shares of Dena Bank settled at Rs 50.8, up 1.8 per cent on the Bombay Stock Exchange.
