IOC to raise Rs 3000 crores via rupee denominated bond issue

Indian Oil Corp (IOC), the nation’s biggest oil firm, plans to rais?e Rs 3,000 crore in rupee borrowings this month to meet its general corporate financing needs, IOC Director (Finance) Sandeep Kumar Gupta said on Tuesday. “We plan to raise through a rupee denominated bonds issue up to Rs 3,000 crore.

A similar amount may be raised later in the financial year,” he said here. The bond issue will be of Rs 1,000 crore with a greenshoe option of another Rs 2,000 crore, he said and added that “we may retain or not retain over-subscription of up to Rs 2,000 crore.” The bond issue will be of 10 year tenure. IOC plans to use the money raised though the bond issue for general corporate financing, he said adding the company had a borrowing of Rs 81,000 crore at the end of September quarter. The company is aggressively expanding refining and petrochemical capacity and laying infrastructure to meet rising energy demand in the country. “We had a planned capital spending of Rs 25,000 crore during current fiscal.