IGI Logo

Key News

India Grid to raise Rs 2,500 cr via NCD to recast debt, acquisitions

KKR-backed India Grid Trust (IndiGrid) is raising a term loan of Rs 1,500 crore, and debts of Rs 1,000 crore through non-convertible debentures (NCD) to refinance old loans and acquire power transmission assets. IndiGrid’s debt on February 28, 2021, was Rs 8,690 crore. One of its units — East North Interconnection Company (ENICL) — has a term loan of Rs 630 crore and another entity — Gurgaon-Palwal Transmission (GPTL) — carries debts of Rs 739 crore. The proceeds of NCDs and credit will refinance the loans of ENICL and GPTL. The major shareholders in IndiGrid are KKR & Co. Inc and its affiliates (23 per cent) and Singapore’s GIC and its affiliates (20 per cent). The unitholders of IndiGrid in September 2020 granted approval for designating KKR sponsor. India Ratings has assigned “AAA” for the proposed debenture offer. It also affirmed the current rating for bank loans and long-term debts.

Tata Communications OFS opens Tuesday for institutional investors

Offer for sale (OFS) to divest government’s shareholding in Tata Communications, which was earlier state-owned VSNL, will open Tuesday for institutional investors. The government will sell its 10 per cent stake, with an option to sell an additional 6.12 per cent stake. The floor price has been set at Rs 1,161, and the sale of 16.12 per cent stake could fetch the government around Rs 5,334 crore. The offer would open for retail investors on Wednesday. The government holds 26.12 per cent stake in the company. On Friday, Tata Communications had said that "As an initial step, the government will sell up to 4,59,46,885 equity shares forming 16.12% equity shareholding of the company through an OFS through the stock exchange mechanism. Immediately after the OFS, the government shall sell the remaining equity shares held by it in the company to Panatone.” Panatone Finvest is an investment arm of Tata Sons. The price at which the stake would be sold to Panatone would be decided based on the price and number of shares sold in the OFS.

Bank of Baroda cuts benchmark lending rate by 10 bps, makes loans cheaper

State-owned Bank of Baroda (BOB) on Monday cut its benchmark lending rate by 10 basis points to 6.75 per cent. The lender’s home loan rates now start at 6.75 per cent and for cars at seven per cent after the revision in the Baroda Repo Linked Lending Rate (BRLLR). it said in a statement. Mortgage loan rates start at 7.95 per cent and education loan rates start at 6.75 per cent. BOB stock was trading 1.23 per cent up at Rs 78.3 per share on BSE.

Hero Future Energies to hit int'l bond market, use funds for India projects

Hero Future Energies will tap the international bond market for funds, use its Mauritius SPV to issue USD senior notes. The renewables company will use the proceeds to subscribe to Indian rupee-denominated external commercial borrowing (INR ECB) bonds. Clean Renewable Power (Mauritius) Pte. Ltd. (CRP) proposes to issue six-year USD senior unsecured notes. CRP is a financing vehicle incorporated in Mauritius and a wholly owned subsidiary of Hero Future Energies (HFE). Fitch Ratings Agency assigned BB-(Exp) rating to the proposed notes.

AU Small Finance Bank has raised Rs 625.50 crore through the sale of shares to institutional investors.

After market close AU small finance have raised Rs 625.50 crs through sale of shares to an institutional investors and this capital will be used for capex for the bank development.

To Read Complete Report & Disclaimer Click Here

Above views are of the author and not of the website kindly read disclaimer