CRISIL assigns ‘A1+' rating to bank's certificate of deposits worth Rs10,000 crore

31 Mar 2022 , 11:57 AM

Indian Bank Limited informed that CRISIL Ratings Limited vide their letter dated March 30, 2022, has assigned a fresh rating of CRISIL A1+ to the Bank’s proposed additional Certificate of Deposits of Rs10,000 crore (Total Rs25,000 crore).

Further, they have also re-affirmed their outstanding rating on the Bank’s outstanding/ proposed Basel III AT 1 Perpetual Bonds, Basel ill Tier 2 Bonds, and Certificate of Deposits.

The rating agency has assigned ‘CRISIL AA+’ rating to Basel III AT 1 Perpetual Bond, and ‘CRISIL AAA’ to Basel III Tier 2 Bonds. It has given a stable outlook for all the debt instruments of the company.

Indian Bank also informed that it has reduced its stake in India Debt Resolution Company Ltd. (IDRCL) from its existing 12.30% to 5.00% as IDRCL has allotted 1,91,95,000 new additional equity shares of Rs10 each by IDRCL through preferential allotment on private placement basis to the identified investors, including Indian Bank.

The cash consideration paid by Indian Bank for subscribing to 9,01,000 new equity shares of the face value of Rs10 each in the said preferential allotment of IDRCL is worth Rs90.10 lakh.

Indian Bank’s stock was trading marginally up at Rs153.20 as against the previous close of Rs152.80 on NSE. It touched intraday high and low of Rs155 and Rs151.35 respectively.