Home » IOC raises $500 mn via bond issue

IOC raises $500 mn via bond issue

IOC raises $500 mn via bond issue

Indian Oil Corporation (IOC) raised $500 mn through issue of 10 year dollar denominated bonds at a coupon of 5.75 percent.

The state-run oil marketing company (OMC) roped in
Deutsche Bank, HSBC and Standard Chartered Bank as the joint book-runners for the bond sale.

Around 400 investors across the globe offered bids worth about $3.5 bn for subscribing to the bonds. The bidders include fund managers (64 percent), banks (17 percent), insurance and sovereign wealth funds (11 percent) and private banks (8 percent).

The firm received nearly 73 percent of the orders from Asia while Europe and middle east comprised of 25 percent of the orders. US contributed a meagre of 2 percent to the total order.

IOC has a rating of Baa3 by MoodyÂ’s and BBB-minus by Fitch, having a stable outlook on the company by both the rating agencies.

Recently the company had raised Rs 1700 cr from the domestic bond markets by issuing 5 year secured redeemable NCDs at 8.14 percent.

Also Bharat Oman Refineries raised R373 Cr through ECB and BPCL was likely to raise dollar denominated debt through a bond sale.

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