Indian Oil raises Rs 2,500 cr in debt at interest lower than sovereign
Indian Oil Corporation (IOC), the nation’s top oil firm, raised Rs 2,500 crore in debt through non-convertible debentures (NCD) at an interest rate lower than government bonds, its director (finance) Sandeep Gupta said on Friday.
“Today, Indian Oil fetched a competitive price of a 5-year unsecured NCD issue at an annual fixed coupon of 7.14 per cent,” he told PTI.
This coupon rate is lower than the prevailing annualised yield of benchmark G-Sec for similar maturity.
The prevailing annualised yield of 5-year G-Sc is at 7.16 per cent.
The NCDs, which will be used for general corporate purposes, including capital expenditure, were rated AAA by Crisil and Icra.
