Perpetual Bonds

HDFC Bank on Wednesday said it is planning to raise up to Rs 50,000 crore in the next one year by issuing bonds on a private placement basis

The money will be raised by issuing perpetual debt instruments, Tier II capital bonds and long-term bonds through private placement mode, HDFC Bank said

The Bank proposes to raise funds by issuing perpetual debt instruments (part of additional tier I capital), tier II capital bonds and senior long term infrastructure bonds up to a total amount of Rs 50,000 crore.

A security instrument with fixed income, perpetual bonds have no maturity date and are not redeemable, so they may be treated as equity, not debt.

In October, Canara Bank's board had permitted it to raise additional Tier-I capital funds through issue of Basel III-compliant Tier-I perpetual in rupee terms domestically for an amount not exceeding Rs 2,500 crore.

The Union Bank of India board has approved raising of up to Rs 2,900 crore of debt capital by March 31, 2017 by way of issue of Basel III-compliant Perpetual Debt Instruments (Additional Tier 1) or Basel III-compliant Tier 2 bonds.

State Bank of India, the country's largest lender, has raised Rs 2,100 crore by allotting Basel III-compliant perpetual bonds to Yes Bank.

RBI will also allow banks to issue rupee-denominated perpetual debt instruments overseas, which would qualify for inclusion as additional Tier 1 and Tier 2 capital.

The bank has decided to raise Additional Tier- I instruments amounting to Rs 1,500 crore through issue of Basel-III complaint perpetual bonds by way of private placement, Canara Bank said in a statement.

Reliance Industries, with a cash balance of nearly Rs 84,000 crore, today raised $800 million via a perpetual bond sale at 5.875 per cent coupon, which the Mukesh Ambani-led firm claimed is a first in the world as it has pierced the 6-percentage points pricing-barrier on this type of debt.

Reliance Industries, which is sitting on over Rs 75,000 crore in surplus cash, today launched an issue of bonds in Hong Kong and Singapore markets to raise a minimum USD 500 million (around Rs 2,700 crore), company sources said.

MUMBAI, OCTOBER 05By Hitesh Vyas : State Bank of India is unlikely to raise funds form sale of perpetual bonds as the instrument does not qualify for Tier-I, or core equity capital under the revised Basle-III norms, Chairman Pratip Chaudhuri, said Wednesday a day after Moody's cut its standalone rating. "In term of the Basel-III, these instrumen...

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MUMBAI, JUNE 01By Hitesh Vyas : Tata Power Wednesday said it aims to raise Rs 15 billion via sale of perpetual bonds. The bonds have no maturity or redemption and are callable only at the option of the company, Tata Power said in a filling to Bombay Stock Exchange. The coupon for the Tata Power Rs 15 billion perpetual bond is set at 11.4%, wi...

HDFC Bank on Wednesday said it is planning to raise up to Rs 50,000 crore in the next one year by issuing bonds on a private placement basis

The money will be raised by issuing perpetual debt instruments, Tier II capital bonds and long-term bonds through private placement mode, HDFC Bank said

The Bank proposes to raise funds by issuing perpetual debt instruments (part of additional tier I capital), tier II capital bonds and senior long term infrastructure bonds up to a total amount of Rs 50,000 crore.

A security instrument with fixed income, perpetual bonds have no maturity date and are not redeemable, so they may be treated as equity, not debt.

In October, Canara Bank's board had permitted it to raise additional Tier-I capital funds through issue of Basel III-compliant Tier-I perpetual in rupee terms domestically for an amount not exceeding Rs 2,500 crore.

The Union Bank of India board has approved raising of up to Rs 2,900 crore of debt capital by March 31, 2017 by way of issue of Basel III-compliant Perpetual Debt Instruments (Additional Tier 1) or Basel III-compliant Tier 2 bonds.

State Bank of India, the country's largest lender, has raised Rs 2,100 crore by allotting Basel III-compliant perpetual bonds to Yes Bank.

RBI will also allow banks to issue rupee-denominated perpetual debt instruments overseas, which would qualify for inclusion as additional Tier 1 and Tier 2 capital.

The bank has decided to raise Additional Tier- I instruments amounting to Rs 1,500 crore through issue of Basel-III complaint perpetual bonds by way of private placement, Canara Bank said in a statement.

Reliance Industries, with a cash balance of nearly Rs 84,000 crore, today raised $800 million via a perpetual bond sale at 5.875 per cent coupon, which the Mukesh Ambani-led firm claimed is a first in the world as it has pierced the 6-percentage points pricing-barrier on this type of debt.

Reliance Industries, which is sitting on over Rs 75,000 crore in surplus cash, today launched an issue of bonds in Hong Kong and Singapore markets to raise a minimum USD 500 million (around Rs 2,700 crore), company sources said.

MUMBAI, OCTOBER 05By Hitesh Vyas : State Bank of India is unlikely to raise funds form sale of perpetual bonds as the instrument does not qualify for Tier-I, or core equity capital under the revised Basle-III norms, Chairman Pratip Chaudhuri, said Wednesday a day after Moody's cut its standalone rating. "In term of the Basel-III, these instrumen...

MUMBAI, JUNE 02Phone: +91 (22) 66497000. feedback@tickerplantindia.com Copyright (c) TickerPlant Ltd.Copyright (c) TickerPlant Ltd.

MUMBAI, JUNE 02Phone: +91 (22) 66497000. feedback@tickerplantindia.com Copyright (c) TickerPlant Ltd.Copyright (c) TickerPlant Ltd.

MUMBAI, JUNE 01By Hitesh Vyas : Tata Power Wednesday said it aims to raise Rs 15 billion via sale of perpetual bonds. The bonds have no maturity or redemption and are callable only at the option of the company, Tata Power said in a filling to Bombay Stock Exchange. The coupon for the Tata Power Rs 15 billion perpetual bond is set at 11.4%, wi...