Indian companies have raised over Rs 1.28 lakh crore in the current fiscal so far by issuing bonds through private placement on BSE's electronic book mechanism, the exchange said today. The BSE-BOND was launched on July 1, 2016 to facilitate online bidding for private placement of debt securities.
Since then, corporate India has raised Rs 3.43 lakh crore through it. The platform, which allows all categories of investors to place bids, helps to bring in transparency and efficiency in price discovery for private placement of debt securities. Yesterday, U P Power Corporation Ltd successfully garnered a little over Rs 4,498 crore through the platform. This has taken the amount of money raised through the platform to Rs 1.28 lakh crore in the ongoing fiscal. "In this financial year 2017-18, till December 4, 2017, 64 issuers have done 295 issues of bonds and have successfully raised Rs 1,28,209 crore using BSE Debt platform," BSE said. In May, markets regulator Sebi had proposed to make electronic book mechanism mandatory for all private placement issues on debt basis that have a threshold of Rs 50 crore. Currently, the mechanism is mandatory for all private placements of debt securities with an issue size of Rs 500 crore or more. It is optional for issues below Rs 500 crore, but the issuers will have to disclose the coupon, yield, amount raised, number and category of investors to the electronic book provider or the information repository for corporate debt market in the format as specified by Sebi.
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