Thu. Mar 28th, 2024

On Thursday, billionaire Mukesh Ambani took a step where Reliance Industries have raised a corpus of Rs 8,500 crore with the hrlp of a non-convertible debenture issue. This would be used to refinnace any kind of debt at India’s most valuable conglomertae.

In August 2019, Ambani had made a promise that in a time period of 18 months, RIL would be a zero net-debt company. This initiative has been taken mostly to extend the maturity of leverage or reduce the net debit. It can also be seen as a small part of the broader strategy.

One of the person from RIL, reportaed that as there is no incraese in debt or it is replacing any existing debt the issue would not impact the idea of being zero debt company by the end of March 31,2021.

In December end company had a great debt of 306,851 crore. The company was thinking towards a local bond sale worth Rs 10,000 crore.

On Thursday, the bonds were sale in two different trances. First one was Series K1 with face value of Rs 10,00,000 each, with cash aggregrating to Rs 3,000 crore. On the other hand the value of K2 had the same value with cash aggregating to Rs 3,500 crore.

There are high chances that some of the bank  might hasve used funds obtained from RBI window which is known as Targeted Long Term Repi to invest in any top-rated bonds.

HDFC laso raised RS 2,500 crore which provided nearly 7.2 percent, with three papers of three years.

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