Corporate bonds attract bids worth USD 812 mn from FPIs

Corporate bonds today received an overwhelming response from foreign investors and attracted bids worth USD 812 million, against USD 345 million on offer.
The auction was conducted on NSE's ebid platform from 1530 hours to 1730 hours, after the market hours.
At the end of the two-hour auction, as many as 24 bids were declared successful out of 48, the exchange data showed.
Foreign portfolio investors (FPIs) bid for investment limits in corporate debt securities worth Rs 5,241 crore (USD 812 million) as against Rs 2,229 crore (USD 345 million) on offer.
The debt auction quota gives overseas investors the right to invest in the debt up to the limit purchased.

Till September 20, total investment in the corporate debt category has reached Rs 2,42,094 crore, 99.09 per cent of the total permitted threshold of Rs 2,44,323 crore, as per the latest update with depositories.

Consequently, the exchange had decided to conduct an auction for the allocation of unutilised debt limits (Rs 2,229 crore) today.
A mock bidding session was conducted yesterday to check the system's performance.
In an auction conducted earlier this month, the corporate bonds had attracted bids to the tune of Rs 4,499 crore from foreign investors against Rs 1,710 crore put on offer.