INSUBCONTINENT EXCLUSIVE:
Mumbai: Shriram Transport Finance would raise about $400 million in offshore loans through its first external commercial borrowing (ECB)
programme, benefiting from amended rules that allow such financiers to go beyond home for capital that would otherwise have cost more after
Chartered, HSBC, ICICI, and Kotak Mahindra, to arrange the offshore credit, two market sources familiar with the matter said
Domestic lenders are the biggest financiers.
Individual banks could not be contacted immediately for comments
Revankar, who declined to divulge details.
The loan would be of three-fiveyear maturities and priced after adding a spread, or mark-up, over
and above the London Inter-bank Offered Rate (LIBOR).
The spread would be about 180 basis points
The money would be raised over the next week, said one of the persons cited above
During FY18, the company expanded its assets under management by 21 per cent to Rs 95,306 crore.
In the past one year, Shriram shares soared
about 37 per cent, beating the broader Sensex
They closed a tad up at Rs 1,392.55 on Thursday.
A few months earlier, the central bank permitted NBFCs to tap the overseas loan market,
which was only open to infrastructurebased NBFCs earlier.
The rupee-denominated or masala bonds too did not turn out to be the preferred
route for companies such as Shriram or Mahindra Finance
listed on the London Stock Exchange
It offered a 120-basis point spread above LIBOR.
