Federal Bank Ltd said in a BSE filing on August 21, 2026, that its board has approved the Federal Bank foreign currency bond plan for raising up to the equivalent of USD 500 million. The bonds are proposed to be issued through the bank’s IFSC Banking Unit at GIFT City.

The fundraising may be undertaken in one or more tranches, with a maximum tenor of up to five years. Federal Bank said the proposal remains subject to applicable regulatory and statutory approvals, consents, permissions and compliance requirements.

The disclosure was submitted under Regulation 30, read with Schedule III, of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. It followed an earlier communication from the bank dated August 18, 2026.

Terms disclosed by Federal Bank

The board approval establishes the overall ceiling and broad route for the proposed fundraising. The filing specified the following verified terms:

  • Foreign currency-denominated bonds will be used as the fundraising instrument.
  • The proposed aggregate amount is up to the equivalent of USD 500 million.
  • The bonds may be issued in one or more tranches.
  • The issuance will be routed through Federal Bank’s IFSC Banking Unit at GIFT City.
  • Each issuance will fall within a maximum tenor of five years.

The filing does not provide the currency mix, coupon, tranche size, issue date, investor category or use of proceeds. These terms therefore remain unspecified in the board meeting outcome.

Tranche details to follow separately

Federal Bank said the disclosures required under the relevant SEBI circular dated January 30, 2026, will be provided after meetings of the board or committee approving the issuance of individual tranches. Consequently, the current filing records approval for the overall proposal rather than completion of a bond issuance.

The bank’s board meeting began at 2:00 pm and concluded at 6:50 pm on August 21. The exchange communication was signed by Company Secretary Samir P Rajdev and addressed to both BSE Limited and the National Stock Exchange of India Limited. Federal Bank trades under the NSE symbol FEDERALBNK and BSE scrip code 500469.

Source: BSE corporate announcement.