Page 10 - Bonds

PSUs set to issue long term bonds worth Rs 5,000 cr to meet investor demand

None of the companies replied to Reuters emails seeking comments. The merchant bankers did not want to be named because they are not authorized to talk to media

Huge profits made by investors on catastrophe bonds raising eyebrows

Catastrophe bonds, which are issued by insurers, reinsurers and governments seeking an extra layer of disaster coverage, have been handing investors double-digit returns

Sebi proposes to introduce liquidity window facility for bond investors

Sebi has proposed to introduce a new liquidity window facility for investors in debt securities through the stock exchange mechanism, a move aimed to enhance liquidity in the corporate bond market, particularly for retail investors. In its draft circular released on Friday, Sebi proposed that the liquidity window facility seeks to mitigate the issue by providing a regulated mechanism for issuers to offer put options on debt securities at pre-specified dates or intervals. The facility will allow issuers to provide put options to investors, enabling them to sell their debt securities back to the issuer before maturity. It can be provided only for prospective issuances of debt securities through public issue process or on a private placement basis (proposed to be listed). The Securities and Exchange Board of India (Sebi) has invited public comments on the draft circular till September 6. As per the circular, Sebi said "an entity issuing debt securities, which are proposed to be listed

July Budget and slashing of SGBs: A setback for portfolio balancing

Understandable if govt decided not to bear exchange and capital appreciation risks on SGBs anymore, but this would be a pity for investors who would no longer have this option to balance portfolios

Need enabling framework to help cos issue ESG bonds locally: RBI official

There is a need to create an "enabling framework" to help Indian companies issue environmental, social and governance (ESG) bonds locally, a senior RBI official said on Friday. Underlining that capital markets regulator Sebi which looks after the regulations for the bond markets has done significant work, Dimple Bhandia, the chief general manager in RBI, also rued that the development in the repo for corporate bonds has not been satisfactory. "...we find that lot of our companies are going overseas and issuing ESG bonds. This is an area where we need to look at an enabling framework," Bhandia said, speaking at an event organized by industry lobby grouping Assocham here. Another disappointment has been the "non-starter" credit derivatives market, she said, recalling that very limited number of trades have taken place in it. She, however, said that the overall secondary market activity in corporate bonds is not as bad as one would think. Bhandia said even though its base is lower,

Valuation of AT-1 bonds held by MFs will be based on yield to call: Sebi

AT-1 bonds are perpetual bonds issued by banks to raise money to meet regulatory capital requirements

Junk papers share of total bonds value at 20-month high in July

From December 2022 till June 2024, non-investment grade bonds accounted for less than five per cent of the value of total issuance

Second sovereign green bond auction of FY25 receives a muted response

The first green bond auction of this financial year was cancelled on May 31 for similar reasons

Longer tenure bond yields harden after RBI's FAR securities curb

Inflows into shorter tenure bonds likely to be boosted

Foreign investors unhappy after India restores curbs on some bond purchases

The decision had been made in consultation with the government, the Reserve Bank of India added, but gave no reason

SAEL Group issues bonds worth $305 million in international markets

Domestic renewable player SAEL Group on Friday said it has issued green bonds worth USD 305 million in the international markets. The bonds have been issued for investors from the US, Europe and several Asian countries, the company said in a statement. "The USD 305 million (approximately worth Rs 2,500 crore) green bond was jointly issued by SAEL along with 5 wholly-owned subsidiaries together referred to as 'The Restricted Group'," the statement said. The proceeds will be used to expand the company's renewable energy portfolio, which currently stands around 4 GW, it added. SAEL Group aims to increase the portfolio of solar and waste-to-energy assets to 5 GW by the next two years, its Chief Investment Officer Varun Gupta said. In response to the bonds issues, he said, "The record order book oversubscription for SAEL's debut issuance by more than 6x reaffirms the faith of investors in SAEL's business model and the opportunities presented by renewable industry". SAEL Group is an ..

Bank of India raises Rs 5,000 crore via 10-year infrastructure bonds

SBI has raised Rs 20,000 crore through infra bonds while Canara Bank has raised Rs 10,000 crore

Rs 32,619 cr and rising: India Inc back with overseas bonds in 2024

Reduced hedging cost, appetite for high-yield bonds help big-dollar borrowing

L&T Finance planning to resume retail bond issuance in H2FY25: CFO Joshi

Firm stepping up borrowing through Commercial Paper to make the most of soft interest rates

World Bank looking to issue first 'drought' bond in next 12-18 months

The drought bond would be a new instrument in the multilateral lender's suite of so-called cat bonds - fixed income instruments that pay out to countries in the event of a natural disaster

Govt deposits Rs 92 cr to clear immediate bond interest dues of MTNL

The government has stepped in to make a Rs 92 crore payment towards bond dues of MTNL, a government source said, adding that another Rs 64 crore would also be paid in coming days towards interest obligations that are slated to become due in August. The helping hand from the government is significant as it averts a crisis-like situation for the telecom corporation which has been teetering on the brink with regard to its debt obligations, particularly in this case government-guaranteed bonds. Last week, the debt-laden firm had expressed its inability to make interest payments to certain bondholders due to paucity of funds. The government sources said Rs 92 crore is being deposited in an escrow account for payment towards interest on bond dues. Another Rs 64 crore would be paid later this month to clear interest dues that slated to come up in August, sources said. The second semi-annual interest (7.59 per cent) on certain bonds is falling due on July 20, 2024. Amid mounting financial

Zee Entertainment Enterprises to raise $239 million through FCCB

The opening of the issuance of FCCBs is Tuesday, and the conversion price of Rs 160.20 per equity share includes an equity premium of Rs 159.20 a share

Govt bond yields marginally down ahead of fresh supply via debt auction

The latest data has led to a repricing of interest rate cut expectations, with the probability of a 25-basis-point rate cut by the Federal Reserve in September

Aramco looks to raise at least $3 bn from first bond sale in three years

The Saudi government and its various units have been borrowing vast amounts this year, topping China as the biggest issuer of international debt among emerging markets

Canara Bank plans to raise Rs 10K cr through infrastructure bonds in FY25

A Canara Bank official said it expects to raise part of this amount this quarter (Q2FY25) itself, subject to market conditions. It is part of the efforts to diversify sources of funding