State Bank of India’s first retail bond issue of Rs 1,000 crore was subscribed over 17 times on the opening day.
The portion reserved for high net worth Individuals was subscribed over 16 times, while that for retail investors was subscribed 6.4 times, market sources said.
The issue, which opened for subscription on Monday, will close on October 25.
The offering comprises issue of bonds worth Rs 500 crore, with an option to raise it further up to Rs 500 crore by issuing additional bonds, with the total aggregating to Rs 1,000 crore.
The bonds offer an interest rate of 9.25 per cent for 10 years and 9.5 per cent for 15 years.
Citigroup, Kotak Mahindra Capital and SBI Capital Markets are the managers for the issue. The bonds are proposed to be listed on the National Stock Exchange of India.
The application size for retail investors is Rs five lakh.
