Bank of Baroda call option on bonds

Bank of Baroda has also decided to exercise the call option for its 16 per cent seven-year unsecured redeemable subordinated bonds series-1 floated in March 1996.

The bond will be redeemed on March 18 at face value, together with the interest rates accrued till March 17. The bond was in the nature of promissory notes of face value of Rs 5,000 each for cash at par aggregating to Rs 500 crore. It is exercising the first call option after five years.