Canara Bank to raise Rs 5,000 crore via bonds

New Delhi: State-owned Canara Bank on Tuesday said it plans to tap the Tier 2 bond market with the launch of a Rs 5,000 crore issue to strengthen its capital base and support future growth plans.

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The issue is scheduled for February 26 on the Electronic Bidding Platform of the National Stock Exchange, Canara Bank said in a statement.

Canara Bank is set to raise up to Rs 5,000 crore through Basel III-compliant Tier 2 bonds, it said.

The proposed raise comprises a base issue of Rs 2,000 crore with a green shoe option of up to Rs 3,000 crore, enabling the bank to respond flexibly to robust investor appetite, it said.

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