Reliance Industries mulls raising USD 1.5 bn loans

Reliance Industries mulls raising USD 1.5 bn loans

Sources said the energy-to-retail conglomerate was looking to raise the funds through dollar- denominated loans and has begun the process of finalising the syndicate banks for the same.

A company spokesperson refused comment on the debt raising plans.

Sources said that RIL could look at raising over USD one billion of dollar loans to repay its existing loans maturing in a couple of years, while it would also look at further 400-500 million dollars of fresh borrowings from abroad.

Last year in October, RIl had raised USD 1.5 billion for the first time through bonds denominated in US dollars.

While it raised USD one billion through 10-year bonds, another USD 500 million were arranged through sale of 30-year bonds. These funds were raised through RIL's wholly owned subsidiary Reliance Holding USA Inc.

This USD 1.5 billion dollar bond sale was the company's first such bond issue after 13 years. Besides, it was the largest ever public market offshore bond offering by RIL and largest ever corporate bond from India.

This debt raising exercise was followed by plans to raise funds through sale of bonds in global markets by other Indian companies.

These companies included the likes of Anil Ambani group firm Reliance Communications, ICICI Bank, Axis Bank, Essar Energy, JSW Steel and IDBI Bank.