OVL joins hands with foreign banks to raise $2.5 billion

ONGC Videsh Ltd (OVL) has signed separate agreements with consortia of international banks for raising $2.5 billion offshore borrowings to fund the acquisition of a minority stake in an offshore gas field in Mozambique. The first agreement is signed with a consortium of international banks, including ANZ, Bank of Nova Scotia, BTMU, DBS, Mizuho, RBS, Societe Generale, SBI and SMBC for $1.775 billion for a five-year term, according to a company statement.

The second facility is in the nature of a bridge finance of $725 million for a one year term with consortium of international banks such as ANZ, BNP Paribas, BTMU, Citi, DBS, RBS and SBI, the company said.