State Bank of India returns to dollar debt market, bankers see strong demand

•State Bank of India is returning to the dollar bond market after nearly a year with a planned five-year issue.

•The bonds will be issued through SBI's London branch with initial price guidance at 120 basis points over U.S. Treasuries.

•SBI aims to raise at least $500 million, with one banker expecting the deal size to reach $1 billion or more.

•Fitch Ratings has assigned an expected BBB- rating to the proposed senior unsecured notes.