What was filed
Canara Bank told the exchanges that bidding for its Basel III–compliant Additional Tier 1 (AT1) bond issuance was conducted on 16 September 2026 through the NSE electronic bidding platform. The issue opened and closed the same day, with the deemed date of allotment and pay-in set for 18 September 2026.
The instruments are unsecured, subordinated, perpetual, non-convertible debentures, proposed to be listed on NSE.
Terms of the issue
Per the filing, the bank raised above its base size by exercising the green shoe option. The bonds are perpetual in tenor, with an issuer call option exercisable on the fifth anniversary of the deemed date of allotment (18 September 2031) or any anniversary thereafter. The coupon and the number of bids received are set out in the panel.
Why AT1 bonds
Additional Tier 1 bonds count toward a bank's regulatory capital under the Basel III framework. By raising them, Canara Bank adds to the buffer that supports its lending and absorbs losses ahead of equity in stress scenarios. AT1 instruments are perpetual and carry a discretionary coupon and loss-absorption features specific to the category, which distinguishes them from ordinary debt.