)
Reliance Industries Limited (RIL) has raised $ 200 million on Tuesday through 20-year bonds. The notes have been issued at par and will bear a fixed interest rate of 5 per cent per annum with interest payable semi-annually in arrears.
These notes, denominated in dollar, have been issued primarily to Taiwanese life insurance companies and are proposed to be listed on Taipei Exchange. Such notes are commonly known as Formosa bonds.
This has been the first ever Formosa bond issuance by an energy company globally and the longest tenor Formosa bond issuance by a corporate out of Asia.
Deutsche Bank AG, Taipei Branch and HSBC Bank (Taiwan) acted as joint bookrunners and lead managers on the transaction. Morgan Stanley acted as the structuring agent on the transaction.
"This is truly a landmark transaction, which has opened a new exciting funding market for Indian borrowers. The ability to lock-in long tenor funding at attractive pricing levels makes this an interesting market for borrowers," said Randhir Singh, managing director India head - financing, capital markets and treasury solutions, Deutsche Bank AG.
