SBI board approves ₹60,000 crore fundraising via AT1, Tier 2 bonds for FY27; shares up 2%

State Bank of India (SBI) shares rose as much as 1.8% to an intraday high of ₹1,045.7 apiece on Thursday, June 18, as the lender’s board of directors approved fundraising plans for the current fiscal year 2026-27 (FY27).

The state-owned bank, at its meeting held on Thursday, approved plans to raise funds in INR and/or other convertible currencies through the issuance of debt instruments. These include long-term bonds, Basel III-compliant Additional Tier 1 bonds, and Basel III-compliant Tier 2 bonds.

The fundraising, of up to ₹60,000 crore, may be undertaken via public offer or private placement to Indian and/or overseas investors during FY27, subject to Government of India approval wherever required, SBI said in a regulatory filing.

Last year in July, SBI had raised ₹25,000 crore through a Qualified Institutional Placement (QIP) to fund business growth. The fundraising of up to $3 billion (about Rs 25,000 crore) through private placement in FY26 was approved by the SBI's central board in May. Thereafter, the shareholders had cleared the same in June.

SBI Q4 FY26 earnings

The country’s largest lender posted a 5.58% year-on-year (YoY) increase in its profit after tax (PAT) to ₹19,684 crore during the quarter under review, compared to ₹18,643 crore in the fourth quarter of the 2024-25 fiscal year (Q4 FY25).

Its net interest income (NII) advanced 4.13% YoY to ₹44,380 crore in Q4 FY26, as against ₹42,618 crore in the same period of the previous financial year, according to a regulatory filing dated May 8.

However, its domestic net interest margin (NIM) fell by 21 basis points (bps) YoY to 2.93% for the reporting quarter, from 3.14% in the March quarter of FY25.

The bank’s asset quality improved, as its gross non-performing asset (GNPA) stood at 1.49% in the fourth quarter of FY26, marking a 33 basis point (bps) YoY decline from 1.82% in the year-ago period. Sequentially, it contracted by 8 bps quarter-on-quarter (QoQ) from 1.57% in the December quarter of FY26.

Its net non-performing assets (NNPA) improved to 0.39%, down by 8 bps YoY from 0.47%. However, it stayed flat sequentially.

SBI share price

At 2 PM, shares of State Bank of India were trading at ₹1,040.2 apiece on the National Stock Exchange, rising 1.33%.

In a month, shares of the bank have jumped 11%, while for six months’ time, they have advanced over 6%. On a year-on-year basis, State Bank of India shares have gained 31%.

Shares of the company had touched their one-year high of ₹1,234.70 apiece on February 24, 2026, while their 52-week low of ₹781.70 was hit on June 19, 2025.

According to NSE data, the lender has a market capitalisation of ₹9.60 lakh crore.