SBI raises $500m 5-year bond via London branch at 5.25%
SBI just pulled off a big move, raising $500 million through a five-year bond from its London branch.
Thanks to strong demand from 145 investors, the final price landed at 88 basis points over US Treasuries, much lower than expected.
The bonds come with a 5.25% interest rate, and this tight pricing achieved the tightest spread among Indian public-sector bond issuances since the RBI's swap window announcement.
SBI bonds oversubscribed nearly 5 times
Investor confidence was sky-high, with orders reaching nearly five times the issue size ($2.46 billion).
SBI Chairman CS Setty called it the tightest spread among Indian public-sector bond issuances since RBI's swap window announcement, making it cheaper for Indian issuers to borrow money abroad.
The bonds will be listed on SGX-ST, India INX, and NSE-IX, just like HDFC Bank's similar $750 million bond sale in June 2026.