State Bank of India plans to raise up to ₹45,000 crore capital through equity and debt issuances in 2025-26.

The country’s largest lender on Wednesday said that its board has approved raising ₹20,000 crore through the issuance of Basel III compliant additional tier 1 and tier 2 bonds to domestic investors during the ongoing financial year. The bank’s board had in May approved the raising of equity capital of an amount aggregating up to ₹25,000 crore through qualified institutional placements (QIP).

In a separate filing to the exchanges on Wednesday, the bank also launched its share sale to institutional buyers via a QIP at a floor price of ₹811.05 apiece. The bank said it may offer a discount of up to 5 per cent on the floor price.

The floor price is at a discount of 2.46 per cent over Wednesday’s closing share price of ₹831.55 a share.

The move is expected to shore up the capital base of the bank as it looks to expand the credit book. As of March 31, 2025, SBI’s capital adequacy was at 14.25 per cent against a minimum requirement of 12.1 per cent, with the risk-weighted assets at 54.66 per cent of total assets, higher than 52.14 per cent as of March 31, 2024.

“With 14.2 per cent capital adequacy, we have enough firepower to cover ₹8 lakh crore credit growth. So, we don’t need it immediately in terms of the CRAR requirement for credit growth. But we still feel that if there is an opportunity to raise the equity capital, we will definitely access the market,” SBI chairman C.S. Setty had informed analysts at the Q4FY25 earnings call of the bank.

SBI’s credit growth in FY25 was 12 per cent, down from 15.2 per cent in FY24. The bank is eyeing a 12-13 per cent growth in FY26, with the industry growth estimated at less than 12 per cent.

HDFC Bank bonus

HDFC Bank has informed the bourses on Wednesday that its board will consider a proposal to issue bonus shares, its first ever, and declare a special interim dividend for FY26 on July 19.

The announcement follows the successful listing of its subsidiary — HDB Financial Services, earlier this month. The ₹12,500-crore IPO, the largest of the year so far, got subscribed 16.69 times, and the shares were listed at nearly 13 per cent premium. The initial public offer consisted of a fresh issue of ₹2,500 crore and an offer for sale of ₹10,000 crore by HDFC Bank.

The bank’s shares reached an intraday high of ₹2,021.90 at the BSE on Wednesday, close to the 52-week high of ₹2027.40

In FY25, the bank’s net profit had increased by 10.7 per cent to ₹67,347.4 crore from ₹60,812.3 crore in the previous year. Earnings per share were at ₹88.29, up from ₹85.83 in the previous year.