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SBI's Rs 25,000 Crore QIP Triples Subscription as Rs 20,000 Crore Bond Plan Wins Board Approval

Strong anchor support from LIC underscores buoyant demand for the equity placement, setting SBI up to bolster its capital base with a simultaneous Basel III bond issue.

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Overview

  • The qualified institutional placement opened at a floor price of ₹811.05 per share, marking a 2.5% discount to the prior close.
  • Institutional bids reached three times the ₹25,000 crore offer within 24 hours, reflecting deep market appetite.
  • Life Insurance Corporation of India is poised to anchor the QIP with an estimated ₹7,000 crore commitment.
  • SBI’s central board authorised up to ₹20,000 crore of Basel III-compliant Additional Tier 1 and Tier 2 bonds to domestic investors.
  • Proceeds from the equity and bond issuances will strengthen the bank’s CET1 ratio and support further credit expansion with limited dilution of government ownership.