Bank of Baroda Share Price in Focus; Raises ₹10,000 Crore via Green Infrastructure Bond Issue

Bank of Baroda has raised ₹10,000 crore through the issuance of long-term green infrastructure bonds in the domestic market. The fundraising was carried out through Series I bonds with a tenure of 7 years. 

The bonds were issued via the electronic book provider (EBP) platform of the National Stock Exchange (NSE) on 4 March 2026. The allotment was completed on 5 March. 

Strong Subscription from Investors 

The issue attracted bids worth ₹16,415 crore, showing demand from institutional investors. The base issue size was set at ₹5,000 crore, with a greenshoe option of an additional ₹5,000 crore. 

Both portions of the issue were fully subscribed. The final cut-off coupon for the bonds was fixed at 7.10% per annum. 

Key Structure of the Bonds 

The bonds have been issued as senior, rated, listed, unsecured and redeemable instruments. They are non-convertible bonds issued in the nature of debentures. 

A total of 10,00,000 bonds were issued, each with a face value of ₹1 lakh. According to the bank’s disclosure, the allotment was made to 15 investors.  

Ratings and Pricing 

The bond issue has been assigned ‘AAA’ ratings with a stable outlook by CARE Ratings and ICRA Limited. These ratings indicate a high level of creditworthiness and low default risk. 

Bank of Baroda stated that the pricing shows a “greenium”. This refers to slightly lower borrowing costs that issuers may obtain when raising funds through green-labelled debt compared with conventional bonds. 

Use of Funds 

Proceeds from the bond issue will be used to finance projects that qualify under the bank’s green financing framework and applicable regulatory guidelines. 

The funding is expected to support sectors such as renewable energy and other infrastructure projects that meet environmental sustainability criteria. 

Read More: Reliance Consumer Products Partners with Finland Based Fazer to Expand Premium Chocolates in India! 

Bank of Baroda Share Price Performance  

As of March 6, 2026, 3:30 pm, Bank of Baroda share price closed at ₹295.00, a 2.27% decrease from the previous closing price. 

Conclusion 

The ₹10,000 crore issuance represents one of the larger green bond fundraisings by an Indian bank in the domestic market. The funds are intended to be deployed towards projects aligned with green financing standards. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
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