PowerGrid makes its maiden issue in foreign currency mkt
12 Jan 2013 7:20 AM IST
Power Grid Corporation Ltd (PGCL), India's central transmission utility, has made a landmark transaction of $500 million (Rs 2,700 crore) in its debut issue in a foreign currency market in terms of Clause 36 of the Listing Agreement, with a coupon rate of 3.875 per cent per annum for 10-year notes.
The note will be listed in the Singapore Stock Exchange. It is a benchmark bond as it is the first international issuance from an India corporate in 2013. The order books were in excess of $9.5 billion, representing an astonishing oversubscription of 19 times which is the highest oversubscription seen among Indian bond deals. The proceeds of the issue will be utilised to fund PowerGrid's capital expenditure.
PowerGrid's has also gotten its rating done from Standard & Poor’s Rating Services and Fitch Ratings. Standard & Poor’s has given the corporate credit rating as BBB negative as of January 7, 2013 and for senior unsecured it is BBB. According to Fitch Rating, it is ‘BBB’ with ‘negative’ outlook as of January 8.
PowerGrid is the third largest transmission utility in the world, which wheeled about 50 per cent of total power generated in India in 2012. The Navratna company in 69.42 per cent owned by the Union government.
The note will be listed in the Singapore Stock Exchange. It is a benchmark bond as it is the first international issuance from an India corporate in 2013. The order books were in excess of $9.5 billion, representing an astonishing oversubscription of 19 times which is the highest oversubscription seen among Indian bond deals. The proceeds of the issue will be utilised to fund PowerGrid's capital expenditure.
PowerGrid's has also gotten its rating done from Standard & Poor’s Rating Services and Fitch Ratings. Standard & Poor’s has given the corporate credit rating as BBB negative as of January 7, 2013 and for senior unsecured it is BBB. According to Fitch Rating, it is ‘BBB’ with ‘negative’ outlook as of January 8.
PowerGrid is the third largest transmission utility in the world, which wheeled about 50 per cent of total power generated in India in 2012. The Navratna company in 69.42 per cent owned by the Union government.
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