State Bank of India (SBI) has successfully priced a $500 million Regulation S bond issue through its London branch, showcasing strong global investor confidence in India’s largest lender despite an uncertain international macroeconomic environment.
The issue attracted a peak order book of $2.46 billion from 145 investors, nearly five times the issue size, highlighting the appetite among global fixed-income investors for SBI paper. The bonds will be listed on SGX-ST, India INX and NSE-IX.
In June 2026, HDFC Bank had raised $750 million through a five-year overseas bond issue at a spread of about 90 basis points over US Treasuries after launching at 120 bps guidance, reflecting a similar trend of strong demand in the market.
Commenting on the transaction, SBI Chairman CS Setty said the successful fund raise demonstrates the bank’s diversified offshore investor base and the confidence global investors continue to place in both SBI’s credit profile and India’s growth story. He added that the issue achieved the tightest spread among Indian public-sector bond issuances since the RBI’s swap window announcement, helping contain borrowing costs for Indian issuers.
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