Federal Bank’s Board of Directors has approved a proposal to raise funds through the issuance of foreign currency denominated bonds. The issuance, planned via the bank’s IFSC Banking Unit in GIFT City, aims to raise an aggregate amount up to the equivalent of USD 500 million. These bonds will have a maximum tenor of up to five years and are subject to necessary regulatory approvals. Details will be provided after committee approvals for each tranche.
Federal Bank Approves Bond Issuance Proposal
The Board of Directors of Federal Bank, at a meeting held on August 18, 2026, approved a significant proposal to raise capital through the issuance of foreign currency denominated bonds. This fundraising initiative is set to be conducted through the bank’s International Financial Services Centre (IFSC) Banking Unit located in GIFT City.
Key Details of the Proposed Issuance
The proposed issuance aims to raise an aggregate amount of up to the equivalent of USD 500 million. These bonds will be issued in one or more tranches and will carry a maximum tenor of up to five years. The entire process is contingent upon obtaining all necessary regulatory, statutory, and other applicable approvals, consents, and permissions.
Further details pertaining to the issuance of each tranche will be provided following the respective Board or Committee meetings that approve them, as per SEBI circulars. The meeting of the Board of Directors commenced at 02:00 pm and concluded at 06:50 pm on the aforementioned date.
Source: BSE
