Reliance Industries Raises $4 Billion in India’s Largest Ever FX Bond Issue

Reliance Industries Ltd announced on Thursday that it had raised $4 billion in US dollar bond issues in three tranches. It is India’s largest ever foreign currency bond issue, the company said. The notes were nearly 3x oversubscribed with a peak order book totaling approximately $11.5 billion and were priced via the secondary RIL curve.

The conglomerate raised $1.5 billion over a 10-year tranche, $1.75 billion over 30 years and $750 million over 40 years. The notes were nearly 3x oversubscribed with a peak order book totaling $11.5 billion and were priced via the secondary RIL curve. Part of the cash will be used to refinance $1.5 billion in debt that will mature in February.

“Interest on the Notes will be payable semi-annually in arrears and the Notes will rank pari passu with all other unsecured and unsubordinated obligations of RIL. Proceeds from the bond will primarily be used to refinance existing borrowings,” RIL advised in an exchange filing today.

The tickets received orders from over 200 accounts in Asia, Europe and the United States. In terms of geographic distribution, the Notes were distributed: 53% in Asia, 14% in Europe and 33% in the United States. The notes were distributed to high quality fixed income accounts: 69% to fund managers, 24% to insurance companies, 5% to banks and 2% to public institutions.

Srikanth Venkatachari, Co-Chief Financial Officer of RIL, said: “We are extremely pleased with the strong outcome of our multi-tranche US dollar bond issue, having not only issued the largest transaction in the debt capital market at $4 billion, but also the tightest. the credit is spread over each of the long term maturities for any business in India. »

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