Indian Bank raises Rs.500 crore issuing bonds

City-based Indian Bank has raised Rs.500 crore through issue of bonds on a private placement basis.

In a notification to National Stock Exchange (NSE) Friday, the bank said the bonds will bear an interest rate of 8.53 percent. The issue opened and closed on June 28, 2010 and the allotment was done on June 28, 2010.

The bank’s board on May 31 had given approval for raising Rs.1,000 crore as tier II capital in one or more tranches during the current year.