REC raises $400 million at a tighter rate

Rural Electrification Corporation NSE -0.90 % raised $400 million by selling bonds to overseas investors as it aims to fund power projects.

Those bonds were priced after adding about 193 over and above five-year US Treasury (UST). It yielded 2.75 percent, about 38 basis points tighter than initial price guidance, two market sources said.

A group of foreign banks including Barclays, MUFG, Standard Chartered Bank and Citi helped the company raise offshore funds.