IIFL Finance raises $300 million via dollar bonds

Mumbai: Fairfax-backed IIFL Finance has raised $300 million by selling four-year dollar bonds to international investors, its second such issue within a month. The bonds were finally priced at 7.60%, slightly lower than the initial price guidance of 7.85% the company had issued earlier in the day.

"The company decided to go ahead with this issue because of the demand from overseas investors. This bond was issued within the existing medium term note programme of the company so it could be up and running quickly," a person aware of the issue said on condition of anonymity.

The order book for the bond stood at about $900 million, including $100 million from the joint lead managers. HSBC and Standard Chartered were among the mandated book runners for the transaction. An IIFL Finance spokesperson declined to comment.


In a note earlier on Thursday, Fitch Fitch Ratings assigned an expected rating of 'B+(EXP)' for the bond. "The proposed notes are rated at the same level as IIFL Finance's Long-Term Foreign-Currency Issuer Default Rating (IDR), in accordance with Fitch's rating criteria, as they will be the issuer's secured obligations and rank pari passu at all times with its other secured obligations," the ratings agency said.