HPCL to raise $200 mn via ECBs

Lead managers for the issue are SBI along with Bank of Tokyo-Mitsubishi and Sumitomo Mitsui Banking Corp

Oil refiner and marketing company Hindustan Petroleum Corporation Ltd (HPCL) is planning to raise about $200 million through overseas market to fund the capital expenditure.

One top executive with international bank with presence in India said the state-owned oil marketing company has sought requests from bankers for proposed ECB.

"We are planning to raise funds to finance some of our projects. We will be raising $200 million five year loan via external commercial borrowings shortly," said a senior HPCL official.

Prior to this, HPCL had last September raised a $465 million five-year loan via 165 points above Libor. Lead managers for the issue are State Bank of India along with two international banks-- Bank of Tokyo-Mitsubishi and Sumitomo Mitsui Banking Corp.

Another public sector bank official said in anticipation of rise in demand for foreign currency resources from Indian companies, including State Bank of India have raised over $3.5 billion through bonds and loans.

Indian companies have filed application with Reserve bank of India to raise $18.31 billion between January-July 2012, according to Reserve Bank of India data.

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