Bank of Maharashtra to invest ₹50 crore in bonds

Bank of Maharashtra plans to invest ₹50 crore in tier-I perpetual bonds from a regional rural bank it sponsors. This is part of Maharashtra Gramin Bank's plan to raise a total of ₹70 crore through these bonds. The bonds are expected to be priced at a 10.15% interest rate. This type of bond issuance is rare for a regional rural bank. Maharashtra Gramin Bank is 35% owned by Bank of Maharashtra, with the Centre owning 50% and the Maharashtra government holding 15%. The bond issue is likely to be completed before the end of March. Bank of Maharashtra did not respond to requests for comments. The last time Maharashtra Gramin Bank issued tier-I perpetual bonds was in December 2021.