Indian Bank Redeems ₹2,000 Crore Tier-2 Bonds, Pays ₹123.6 Crore Interest

Indian Bank has successfully completed the full redemption of its Basel III compliant Tier-2 Bonds Series-V amounting to ₹2,000 crore on January 13, 2026, following the exercise of the call option, the bank informed stock exchanges.

The lender also paid ₹123.6 crore as interest on the same date to eligible bondholders, in line with regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

According to the disclosure, the redeemed securities carried the ISIN: INE562A08081 and were issued with an original size of ₹2,000 crore. The interest payment record date was December 29, 2025, and both principal and interest payments were made on the scheduled due date of January 13, 2026, without any delay.

The redemption was executed in full, involving the retirement of 20,000 Non-Convertible Debentures (NCDs), resulting in zero outstanding balance under the issue. The next scheduled maturity of the bonds was originally January 13, 2031, which now stands nullified following the call option exercise.

This timely servicing of debt obligations further strengthens Indian Bank’s balance sheet and enhances investor confidence in the bank’s capital management discipline.