Bank of Maharashtra today said it will raise Rs 1,000 crore by issuing Basel-III compliant bonds on a private placement basis.
“Bank of Maharashtra has informed the BSE that the bank proposes to raise Basel III compliant tier-II bonds amounting to Rs 1,000 crore by way of private/public placement,” it said in a regulatory filing.
According to a Fitch Ratings report, Indian banks need $140-billion capital to ensure full compliance with the Basel-III norms by 2018-19. The Basel-III norms are aimed at bolstering banks’ resilience. Basel-III capital regulations are being implemented in India with effect from April 1, 2013 in a phased manner.
Shares of the bank were trading at Rs 31.15 apiece on the BSE, down 0.48 per cent, from their previous close.