The Federal Bank Limited’s Board of Directors has approved a new medium-term note (MTN) programme. This programme will allow the bank to raise funds up to USD 500 million, or its equivalent in other currencies. The funds will be raised through the offer and issuance of secured or unsecured bonds, including foreign currency notes, in one or more tranches.
Federal Bank Board Approves Major Funding Initiative
The Board of Directors of The Federal Bank Limited convened today to consider and approve significant modifications to a previously granted approval. A key outcome of this meeting is the establishment of a new medium-term note (MTN) programme. This initiative is designed to enable the bank to raise a substantial amount of capital, with an aggregate limit not exceeding USD 500 million, or the equivalent in any other currency.
Details of the MTN Programme
Under the approved MTN programme, the Bank will have the authority to offer, issue, and allot secured or unsecured bonds. These may include foreign currency notes, structured in one or more tranches. The issuance will be facilitated through one or more of the Bank’s branches, including its head office and its banking unit located in the GIFT City. Furthermore, the Bank intends to list these Securities with international stock exchanges, potentially including the India International Exchange (IFSC) Limited and/or NSE IFSC Limited, as applicable.
Board Meeting Concluded
The meeting of the Board of Directors commenced at 02:50 pm and concluded successfully at 03:35 pm on the same day, concluding the deliberations on this important funding strategy.
Source: BSE
