Oil India raises $1000 million in two tranches

MUMBAI: Oil India Ltd raised $1000 million through issue of dollar bonds. "The company has raised funds through dollar bonds. Dual tranche USD REG S new issuance for Oil India Limited, priced at T+222.5 for $500million five year first tranche and T+272.5 for $500million 10 year bond second tranche," said a senior banker involved in the transaction.

In 2013, Indian corporations raised more than $14 billion from the overseas bond markets.

"The stability in the Rupee and foreign investors flows in the market could see more corporates tap the overseas market," said a senior banker.

Many companies like Indian Railway Finance Corp raised $500 million, Bharat Petroleum Corp. Ltd ( BPCL) raised 175 million Swiss francs , Bharti Airtel Ltd, raised CHF 350 million.

ICICI Bank, the country's largest private sector bank tapped the Australian debt market a issue of $138.2-million for five years as part of its $ 5-billion medium-term notes programme.

"OIL could use the proceeds of the issue to refinance a loan taken to fund its share of a stake in Mozambique gas field acquired jointly with Oil and Natural Gas Corp (ONGC)," said a senior banker involved in the transaction.