Undone: Sidbi withdraws Rs.6,000-Cr bond issuance

The Small Industries Development Bank of India (Sidbi) has called off its planned INR 6,000 crore bond issuance. The move follows a rise in benchmark government bond yields, which increased by approximately 8 basis points over the past two trading sessions, driven by higher crude oil prices and increasing US Treasury yields.The bond issuance received 93 bids totalling INR 7,333.5 crore. Investors had quoted yields of approximately 7.85% for the base issue of INR 1,000 crore and 7.97% for the full INR 6,000 crore, reflecting pricing that was 5-10 basis points above comparable AAA-rated bonds in the secondary market.Rockfort Fincap LLP acted as a market participant/observer for the transaction.