State Bank of Mysore (SBM) has raised Rs 500-crore Tier II capital through a bond offering to fund its business growth.
"The Basel III compliant Tier II bonds issued by State Bank of Mysore, carrying a coupon rate of 8.55 per cent per annum, has been fully subscribed at Rs 500 crore. The issue was opened and closed on December 17," the bank said in a statement on Saturday.
The Bengaluru-headquartered SBM had reported a 240 per cent rise in net profit for the July-September quarter on higher interest income, lower provisions and better recovery from written off accounts. Net profit for the July-September quarter stood at Rs 102 crore against Rs 30 crore in corresponding last quarter, while the income grew to Rs 1,687 crore.
SBM shares had ended at Rs 537.75 on the BSE on Friday, about 1.19 per cent higher over the previous close.