Union Bank of India Raises ₹3,000 Crore via Long-Term Bonds
Mumbai, March 20, 2026: Union Bank of India has successfully raised ₹3,000 crore through the issuance of long-term bonds aimed at financing infrastructure and affordable housing projects. The issuance included a base size of ₹3,000 crore and a Green Shoe option of ₹4,500 crore on a private placement basis.
Oversubscription and Acceptance
The bank received bids totaling ₹9,379.82 crore from Qualified Institutional Buyers (QIBs), resulting in an oversubscription of 3.12 times relative to the base issue size. After evaluation, Union Bank has decided to accept bids worth ₹3,000 crore at a cut-off coupon rate of 7.16% per annum.
Key Details of the Bond Issue
| Particulars | Details |
|---|---|
| Issue Type | Senior, rated, listed, unsecured, redeemable, taxable, transferable Long-Term Non-Convertible Bonds (NCDs) |
| Accepted Issue Size | ₹3,000 crore (base size) |
| Coupon Rate | 7.16% P.A. |
| Number of Bonds | 3,00,000 bonds of ₹1,00,000 each |
| Issue Date | 20th March 2026 |
| Issue Close Date | 20th March 2026 |
| Deemed Date of Allotment | 24th March 2026 |
| Number of Bids Received | 48 |
| Bidding Platform | NSE Electronic Bidding Platform (EBP) |
| Number of Bids Accepted | 14 |
This information has been disclosed in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015.
Strategic Importance
The bond issue will provide funding for critical infrastructure and affordable housing projects, supporting Union Bank’s mandate to facilitate development across India. The strong oversubscription reflects robust investor confidence in the bank’s financial stability and the growth potential of infrastructure and housing sectors.
About Union Bank of India
Union Bank of India is a leading public sector bank in India, offering a wide range of financial products and services. The bank has consistently played a key role in financing infrastructure projects and promoting financial inclusion in the country.