Muthoot Finance gets approval to raise $450 mn from foreign bond market

Muthoot Finance on Thursday said its board has approved raising $450 million through bonds in overseas markets under the $2 billion capital-raise plan.

The bonds will be listed on the London Stock Exchange's International Securities Market, the company said.

The finance committee of the board of directors of the company on Thursday approved the issuance, allotment and settlement of $450 million 6.125 per cent senior secured notes due 2022 under the $2 billion global medium term note programme, Muthoot Finance said in a regulatory filing.

Earlier this month, the gold loan financier had informed about its proposal to raise $2 billion (around Rs 14,200 crore) from foreign market to fund its business growth.

The establishment of the Global Medium Term Programme is only an enabling step and presently, no instruments are being issued by the company, it had said.

Muthoot Finance shares closed 0.14 per cent up at Rs 707.40 on BSE.