Union Bank of India raises $600 mn via bonds

State-owned Union Bank of India has raised $600 million from bonds issued to overseas investors to fund business growth.

The fund raised by issuing USD REG S Senior Unsecured Dual Tranche Notes due 2029 (3 years) and 2031 (5 years) of $300 million each issued through Union Bank of India Dubai International Financial Centre (DIFC) branch, the bank said in a regulatory filing on Friday.

‘Regulation S’ tagged instruments are exempt from registration requirements of the US Securities and Exchange Commission (SEC) and can be issued outside the US.

The 3-year bonds carries a coupon rate of 5.230% while 5-year 5.417% to be paid semiannually on February 28 and August 28 each year, it said.

These bonds would be listed at NSE IFSC Limited, it said.