Tata Steel raises $ 1.3 billion via bonds in international markets

Shares of Tata Steel were trading 0.08 per cent up at Rs 752.45 on BSE.

Update: 2018-01-19 07:05 GMT
The company's aim is to make European business stronger for which it will continue to explore various business options including merger, said Tata Steel Managing Director TV Narendran.

New Delhi: Tata Steel has raised USD 1.3billion (approx Rs 8,282 crore) through issuance of unsecured bonds in international markets.

"The issue comprises USD 300 million 4.45 per cent unsecured bonds due on July 24, 2023 and USD 1 billion 5.45 per cent unsecured bonds due on January 24, 2028 by Abja Investment Co Pte Ltd, a wholly-owned subsidiary of Tata Steel incorporated in Singapore," Tata Steel said a regulatory filing.

Tata Steel ED and CFO Koushik Chatterjee said proceeds of the bonds will be "used to refinance the offshore obligations of the Group, which will help de-risk the balance sheet, enhance financial flexibility, diversify the investor base and improve the overall debt maturity profile".

The bonds are rated 'BB-' by S&P and will be listed on the Singapore Exchange (SGX).

Shares of Tata Steel were trading 0.08 per cent up at Rs 752.45 on BSE.  

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