State Bank of India has sounded out international banks for a potential $500 million fundraise through a global bond issue, the timing of which has not been decided, according to people aware of the matter.
The country’s largest lender is expected to formally engage investment banks next week for the proposed issue, which could be scaled up in size depending on the response from investors, said the people cited above.
India’s largest lender, the State Bank of India (SBI), has reportedly contacted international banks to explore options for a possible bond issue, with initial estimates pointing towards $500m. The bank is expected to formally involve investment banks in the project within a week, with the issue’s size dependent on the response from investors. The regulatory framework allowing companies to issue securities to investors in the US and other markets without registering with the SEC is expected to help to bring down costs.