Canara Bank Raises Rs 5,000 Crore via 10-Year Tier-II Bonds at 7.24% Coupon

Canara Bank, a state-run lender, raised Rs 5,000 crore through a 10-year Basel III-compliant Tier-II bond issue at a 7.24% coupon rate. The base issue was Rs 2,000 crore, with the remainder raised via the greenshoe option. The bonds, rated 'AAA' with a stable outlook by Icra and India Ratings, include a call option after five years. The bank's shares closed slightly higher on the BSE following the bond sale.