Reliance Industries Sells Taiwan Bonds For $200 Million-t6670

Business Reliance Industries Limited has obtained an amount of $200 million after it sold itslong-term bonds. The bonds were sold to investors in Taiwan. .pletion of such a sale makes Reliance Industries, the first .pany to do so. Formosa bonds Bonds that are issued in Taiwan and are not in the New Taiwan Dollar, are termed as Formosa bonds. The market of these bonds is fast growing as it provides funds for a longer period and may be invested with insurers in Taiwan. Reliance Industries is the first .pany of Asia that has captured this market. Reliance Industries gave a notice to the exchanges yesterday. It mentioned that the .pany had obtained the money by issuing 20-year notes with coupon rate of 5%. The .pany informed, These notes, denominated in US dollars, have been issued primarily to Taiwanese life insurance .panies and are proposed to be listed on the Taipei Exchange. It also said that the money will be used for its ongoing capital expenditure. The issue was managed by renowned banks, namely Deutsche Bank AG, HSBC Bank (Taiwan) Ltd. And Taipei Branch. A banker said that many .panies are tapping the Formosa bond market. It is because in this market, the issuer may make use of very long-dated bond financing and redeem it even before it is matured. Randhir Singh, India Head of Financing at Deutsche Banksaid that, this Formosa bond is the first which is not based in India. He also said that the bond issued by Reliance Industries has the longest tenureamong any such bond issued by any Asian .pany. Reliance Industries is an active foreign currency borrower. The .pany plans to expand its petrochemical business and roll out its 4G (fourth generation) tele. services. It is planning to expand its petrochemical business by 60% in 2 years. Preparations for tele. venture In this month, Reliance Industries subsidiary, Reliance Jio Info.m Limited acquired $750 million from an associationof nine banks.Korea Trade Insurance Corporation (K-Sure) acted as the guarantor of this loan. Reliance Industries also took $1 billion after selling 10-year bonds, in January. Investors from Asia, Europe and US bought these bonds. In the last three years, the .pany has acquired more than $10 billion from out of India borrowings. A major portion of this amount is used for setting up its tele. infrastructure. The .pany is gearing up to establish a tele. network spread throughout the country. It wants to offer .munication service and internet connection with high-speed. Besides, it also focuses on giving other digital services in sectors like education, entertainment, healthcare, government-citizen interface, security and financial services. To set up the infrastructure the .pany has already invested more than $14 billion. It has also planned to roll out its voice services in a minimum of five cities before the end of next month. The .pany has a license to offer 4G services all over the country in 22 circles under the spectrum band of 2,300MHz. Besides, it has also won 20 tele. regions in spectrum bands of 800MHz and 1800MHz. About the Author: 相关的主题文章: