United Bank of India plans to raise Rs 500 crore via Basel III compliant bonds

Public lender United Bank of India is planning to raise up to Rs 500 crore through issuance of Basel III-compliant bonds on private placement basis.

"The board of directors of the bank approved issuance and allotment of unsecured Basel III compliant, listed, tier-2 bonds in the form of promissory note... with or without greenshoe option, aggregating up to Rs 500 crore on a private placement basis," the bank said in a regulatory filing.

The stock was trading at Rs 20, up 1.01 percent, from its previous close, on the BSE.