Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Essar Power Completes 11 Year Rupee Bond Offering Of About $125 Mln In India

India-focused energy firm Essar Energy Plc (ESSR.L) announced Wednesday that its subsidiary Essar Power Ltd has completed an 11 year Rupee bond offering of about US$125 million or Rs.7.5 billion in India.

This was the second of a number of Rupee bonds to be offered by Essar Power, which when completed will total about US$850 million or Rs.50 billion, the company said.

The company noted that the proceeds will be used to make repayments on existing loan facilities within the power business, particularly relating to its new coal fired power projects.

Essar Power was assigned a credit rating of A+ by ratings agency Credit Analysis and Research Ltd or CARE, of Mumbai, in October 2012 in respect of the proposed Rs.50 billion bond issue.

According to the company, the new bonds issued will be listed on the Bombay Stock Exchange and will be repaid from 2022 to 2024. However, it is currently intended that this bond issue will be refinanced with about.US$500 million or Rs.30.0 billion credit enhanced Rupee bond issue in due course.

Deepak Maheshwari, Essar Energy chief financial officer, said, "This bond issue will allow our power business to benefit from longer debt maturity timeframes and lower interest rates compared to our existing debt facilities. Essar Energy is well positioned to capitalise on the growing demand for power in India."

Register
To receive FREE breaking news email alerts for Essar Energy PLC and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
A number of major retailers will be open on Thanksgiving for early Black Friday shopping events. Kohl's department stores will kick off Black Friday sales two hours earlier this year, at 6 p.m. Thanksgiving Day, while Macy's, Bon-Ton and Best Buy will open at the same time. J.C. Penney and Sears... Twitter Inc. has replaced its head of product Daniel Graf just six months after luring him over from Google, according to multiple reports. Graf, previously known for his work leading Google Maps, will retain his vice president of product title and work on Twitter's geolocation features, the Wall... LinkedIn Corp., the world's largest online professional network, said Thursday after the markets closed that its third quarter loss widened slightly from last year, as higher costs and expenses more than offset a 45% increase in revenue. However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations as did its quarterly revenue.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.