Funds via debt placement hit record Rs 58,578 cr in Sept

Fund mobilisation by listed firms through private placement of debt securities surged to an all time high of Rs 58,578.5 crore in September.
The companies had raised Rs 32,875.53 crore from debt on a private placement basis during August, 78.2 per cent less than the amount mopped up in September, as per the latest data with market regulator Sebi.
A total of Rs 58,578.53 crore was garnered through private placement of corporate bonds, which is the highest amount raised in a single month since January 2007. Sebi data is not available before January 2007.
The amount is also over three times more than funds raised in the same period year-ago (Rs 17,763 crore).

With the latest figure, the total money mobilised through this route touched Rs 1.45 lakh crore, for the first six months of the current financial year.
In debt private placements, firms issue debt securities or bonds to institutional investors to raise capital.

Fund raising through private placement had been subdued at the beginning of the financial year on account of good performance of the equities in the stock market.
However, it had gathered pace from August and the momentum continued in September as well.
During September, the number of issues rose to 312 from 174 issues in the preceding month.

Of the total funds raised last month, Rs 24,082.30 crore was mobilised through issues only on the National Stock Exchange (NSE), Rs 15,950.13 crore were raised by companies listed only on the BSE and Rs 18,546.10 crore were from companies listed on both the NSE and the BSE.