Friday, Mar 29, 2024 | Last Update : 05:09 AM IST

  Business   Companies  25 Mar 2017  GVK Power sells 33 pc stake in BIAL for Rs 2,202 cr

GVK Power sells 33 pc stake in BIAL for Rs 2,202 cr

PTI
Published : Mar 25, 2017, 10:56 am IST
Updated : Mar 25, 2017, 11:01 am IST

The move would help the company to deleverage its balance sheet and to bring down our debt level,

 Company will obtain all the necessary consents / approvals as may be required including from the lenders and also followed the process in the BIAL shareholders.
  Company will obtain all the necessary consents / approvals as may be required including from the lenders and also followed the process in the BIAL shareholders.

New Delhi: Mortgage firm HDFC Ltd today raised about USD 504 million (around Rs 3,300 crore) through rupee denominated bonds to fund its business expansion.

This is the largest issuance of masala bonds out of India, HDFC Ltd said in a regulatory filing on stock exchanges.

Under the Medium Term Note (MTN) programme, the Corporation earlier today launched an issue of Rs 2,000 crore (USD 306 million) plus a green-shoe option, it said.

"The Corporation has closed the masala bonds and raised Rs 3,300 crore," it said.

The bond with maturity of 3 years and 1 month carries 7.35 per cent per annum, it said.

"We wish to inform that the Corporation received an overwhelming response from 29 investors across Asia and Europe. The aggregate demand for the transaction was 2.16 times at Rs 4,315 crore (USD 657 million)," it said.

The bonds are unrated and will be listed on the London Stock Exchange, it said. HDFC had raised Rs 500 crore by issuing rupee-denominated masala bonds to overseas investors in October last year.

The corporation has raised a total of Rs 5,000 crore through issuance of rupee-denominated bonds in four tranches.

The masala bonds are instruments through which Indian entities can raise funds by accessing overseas capital markets, while bond investors hold the currency risk.  

Tags: hdfc, rupee denominated bonds, fund, capital market
Location: India, Delhi, New Delhi