Tata Steel raises Rs 1,300 crore through int'l bond
New Delhi: Tata Steel Thursday said it has raised SGD 300 million (about Rs 1,300 crore) from Singapore market through an international bond offering at a coupon rate of 4.95 percent.
".... The Issuer incorporated in Singapore, being a wholly owned subsidiary of Tata Steel, has priced its issue of SGD 300 Million 4.95 percent senior unsecured notes due 2023. The notes are guaranteed by Tata Steel Ltd," it said in a BSE filing.
It added that the bonds will be listed on the Singapore Stock Exchange and "the guarantee will be an unsecured obligation of Tata Steel Ltd".
The bond offering of Tata Steel, launched through ABJA Investments -- a Singapore-based wholly-owned arm of the company-- was its first foreign fund-raising activity in about three years.
The company may use this money to fund construction of its new 6 million tonnes steel plant at Kalinganagar in Odisha.
As on December 31, 2012, the leading Tata group company had a total debt of Rs 57,981 crore (USD 10.54 billion).
So far this year, 13 companies, including Tata Steel, have raised close to USD 8.5 billion from the overseas debt market.
Shares of the company closed Thursday at Rs 312.55 apiece on the BSE, up 1.30 percent from their previous close.