Latest news with #NCDs
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Business Standard
a day ago
- Business
- Business Standard
Shapoorji Group bags $3.35 bn in largest private deal led by Deutsche Bank
The $3.35 billion financing was raised via 3-year NCDs at a 19.75 per cent annual yield, up from last year's 18.75 per cent when Goswami Infratech raised $1.7 billion in debt Rimjhim Singh New Delhi Deutsche Bank has planned the largest private credit transaction outside the United States by raising $3.35 billion for the Shapoorji Pallonji (SP) Group. The infrastructure conglomerate leveraged a portion of its Tata Sons stake as collateral, attracting commitments from major global investors, including BlackRock and Morgan Stanley, according to a report by The Economic Times. The financing was secured through three-year non-convertible debentures (NCDs) offering a 19.75 per cent yield, compounded annually and payable at maturity. This marks a rise from earlier debt issuances, which commanded yields approximately one percentage point lower. In 2023, SP Group's Goswami Infratech had raised $1.7 billion at an 18.75 per cent yield, the news report said. Deutsche Bank's significant commitment and syndication The $3.35 billion funding round brought together three distinct investor groups: existing bondholders of Sterling bonds, current investors in Goswami bonds, and a new cohort of private credit investors from the US, the UK, Hong Kong, Singapore, and India. Deutsche Bank spread its exposure across international credit funds, with BlackRock acquiring $70 million, Sona Capital investing $180 million, Morgan Stanley Investment Management putting in $60 million, and PIMCO contributing $45 million. This consortium totalled around $355 million, complemented by a separate $500 million investment from Ares Capital. Farallon Capital, a longstanding creditor to the SP Group, invested $596 million (approximately ₹5,100 crore). Other key participants included Davidson Kempner and Cerberus Capital, committing $401 million and $474 million respectively. Secured by stake in Tata Sons and real estate arms The debt is secured against SP Group's 9.2 per cent shareholding in Tata Sons, held through Sterling Investment, as well as assets in Shapoorji Pallonji Real Estate and SP Energy — the group's oil and gas business. This issuance, exclusively arranged by Deutsche Bank, represents the first large-scale corporate bond placement following changes in Foreign Portfolio Investor (FPI) norms, which now permit offshore investment under the general limit route instead of the more restrictive Voluntary Retention Route (VRR), the news report said. Regulatory changes and timing impact the deal Originally aiming for a March close, the transaction was completed six weeks later, delayed by geopolitical uncertainties. While part of the proceeds will refinance existing debt and support growth in SP Group's real estate and engineering, procurement, and construction (EPC) businesses, the deal is expected to transform capital access for large Indian conglomerates, the news report said.
Entrepreneur
a day ago
- Business
- Entrepreneur
Vedanta to Raise INR 5,000 Crore via Debentures
The company's committee of directors has approved the issuance of 5 lakh unsecured, rated, listed, redeemable NCDs with a face value of INR 1 lakh each. The issuance will be done on a private placement basis and will be listed on the BSE. You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Vedanta Ltd has announced plans to raise up to INR 5,000 crore through the issuance of non-convertible debentures (NCDs), as per a regulatory filing disclosed on Friday. The move comes as the mining conglomerate looks to bolster its financial strategy amid a solid earnings performance and an impending corporate restructuring. In a report by PTI, as per the filing, the company's committee of directors has approved the issuance of 5 lakh unsecured, rated, listed, redeemable NCDs with a face value of INR 1 lakh each. The issuance will be done on a private placement basis and will be listed on the BSE. "The duly authorised committee of directors at its meeting held today... has considered and approved the issuance of unsecured, rated, listed, redeemable, non-convertible debentures (NCDs) on a private placement basis... aggregating up to INR 5,000 crore," the company stated. This fundraising announcement follows a sharp rise in Vedanta's earnings for the March quarter. The company posted a consolidated net profit of INR 3,483 crore, marking a 154.4 per cent jump compared to INR 1,369 crore in the same period last year. The spike in profits was attributed to lower production costs and increased output volumes. Total income for the quarter rose to INR 41,216 crore, up from INR 36,093 crore a year earlier. As of March 31, 2025, Vedanta's gross debt stood at INR 73,853 crore, placing increased significance on the company's capital management efforts. The planned NCD issuance appears to be a part of that broader financial recalibration. Meanwhile, the company is also moving ahead with a major structural overhaul. The demerger of its various businesses, aimed at unlocking value and improving operational focus, is expected to be completed by the end of the second quarter of the current financial year. Speaking to PTI, Vedanta's Chief Financial Officer Ajay Goel said, "We are on track to finish (the demerger) by the second quarter end."
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Business Standard
2 days ago
- Business
- Business Standard
Vedanta Ltd to raise Rs 5,000 crore via NCDs as profit surges in Q4
Mining conglomerate Vedanta Ltd on Friday said the committee of directors has approved raising up to Rs 5,000 crore via issuance of debentures. The committee approved issuance of 5 lakh unsecured, rated, listed, redeemable NCDs of face value of Rs 1 lakh each on a private placement basis, as per a regulatory filing by Vedanta. "The duly authorised committee of directors at its meeting held today... has considered and approved the issuance of unsecured, rated, listed, redeemable, non-convertible debentures (NCDs) on a private placement basis... aggregating up to Rs 5,000 crore," the filing said. The issue will be listed on the BSE. Mining major Vedanta Ltd reported a 154.4 per cent increase in consolidated net profit to Rs 3,483 crore in the March quarter driven by lower production costs and higher volumes. The company had posted a net profit of Rs 1,369 crore in the year-ago period. The income of the company during the January-March period rose to Rs 41,216 crore from Rs 36,093 crore in the year-ago period, Vedanta had said in a BSE filing. As on March 31, 2025, the company's gross debt stood at Rs 73,853 crore. Anil Agarwal-led Vedanta Ltd expects to complete the demerger of its businesses by the September-end, according to a top company official. Speaking with PTI, Vedanta CFO Ajay Goel said, "We are on track to finish (the demerger) by the second quarter end." Vedanta Ltd, a subsidiary of Vedanta Resources Ltd, is one of the world's leading natural resources, critical minerals, energy, and technology companies spanning across India, South Africa, Namibia, Liberia, the UAE, Saudi Arabia, Korea, Taiwan, and Japan with significant operations in sectors like oil and gas, zinc, lead, silver, copper, iron ore and steel.
Economic Times
2 days ago
- Business
- Economic Times
Aditya Birla Capital invests Rs 249 crore in its subsidiary ABHFL to fund growth, improve leverage ratio
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel The Aditya Birla Capital Limited on Friday announced that it has made an investment of Rs 249 crore in its wholly owned subsidiary, Aditya Birla Housing Finance Limited "Aditya Birla Capital Limited ('the Company' or 'ABCL') has made an investment of Rs 249 crore on rights basis, in the equity shares of Aditya Birla Housing Finance Limited ('ABHFL')," said the company said that the investment is to fund growth and improve its leverage ratio of ABHFL. "Percentage shareholding of ABCL in ABHFL continues to remain at 100%," said the company through a stock exchange Aditya Birla Capital had announced an infusion of Rs 300 crore into its subsidiary Aditya Birla Housing Finance through a rights Aditya Birla Capital, a non-deposit taking non-banking financial company (NBFC), reported an over 30 per cent decline in consolidated net profit at Rs 865 crore for three months ended March 31, 2025. The company had posted a net profit of Rs 1,245.41 crore in the same quarter of the preceding fiscal year. Its total income grew to Rs 12,239 crore in the January-March quarter of the financial year 2024-25 (FY25), from Rs 10,803 crore in the year-ago period, Aditya Birla Capital said in a regulatory filing to the stock exchanges. The company said its board approved raising of funds by issuance of debt securities including non-convertible debentures (NCDs) for an aggregate amount not exceeding Rs 1,65,000 a separate statement, the company said that overall lending portfolio -- NBFC and HFC -- grew by 27 per cent year-on-year to Rs 1,57,404 crore as on March 31, 2025. Also, the total AUM -- AMC, life insurance and health insurance -- grew by 17 per cent year-on-year to Rs 5,11,260 crore, as on March 31, 2025. The total premium (life insurance and health insurance) climbed 22 per cent year-on-year to Rs 25,579 crore in FY25.
Time of India
2 days ago
- Business
- Time of India
Aditya Birla Capital invests Rs 249 crore in its subsidiary ABHFL to fund growth, improve leverage ratio
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel The Aditya Birla Capital Limited on Friday announced that it has made an investment of Rs 249 crore in its wholly owned subsidiary, Aditya Birla Housing Finance Limited "Aditya Birla Capital Limited ('the Company' or 'ABCL') has made an investment of Rs 249 crore on rights basis, in the equity shares of Aditya Birla Housing Finance Limited ('ABHFL')," said the company said that the investment is to fund growth and improve its leverage ratio of ABHFL. "Percentage shareholding of ABCL in ABHFL continues to remain at 100%," said the company through a stock exchange Aditya Birla Capital had announced an infusion of Rs 300 crore into its subsidiary Aditya Birla Housing Finance through a rights Aditya Birla Capital, a non-deposit taking non-banking financial company (NBFC), reported an over 30 per cent decline in consolidated net profit at Rs 865 crore for three months ended March 31, 2025. The company had posted a net profit of Rs 1,245.41 crore in the same quarter of the preceding fiscal year. Its total income grew to Rs 12,239 crore in the January-March quarter of the financial year 2024-25 (FY25), from Rs 10,803 crore in the year-ago period, Aditya Birla Capital said in a regulatory filing to the stock exchanges. The company said its board approved raising of funds by issuance of debt securities including non-convertible debentures (NCDs) for an aggregate amount not exceeding Rs 1,65,000 a separate statement, the company said that overall lending portfolio -- NBFC and HFC -- grew by 27 per cent year-on-year to Rs 1,57,404 crore as on March 31, 2025. Also, the total AUM -- AMC, life insurance and health insurance -- grew by 17 per cent year-on-year to Rs 5,11,260 crore, as on March 31, 2025. The total premium (life insurance and health insurance) climbed 22 per cent year-on-year to Rs 25,579 crore in FY25.
