IRB infra bonds bought by GIC, Baring, MetLife

Singapore-based GIC, US-based MetLife and UK-based Baring Asset Management were among the international investors, who have likely subscribed to the IRB Infrastructure’s overseas bonds, market sources said.

The company on Tuesday raised $300 million via bond sale that obtained bids about three times higher than the actual size. Individual investors/companies could not be contacted immediately for comments.

While Bajaj Consultants was the advisor to the deal, Deutsche Bank, JP Morgan are among others that helped the company raise the money.

The bonds offered 5.5 percent with three and a half year maturity.

Moody’s has assigned a first time (P)Ba2 rating to the proposed USD senior secured notes to be issued by India Toll Roads (ITR).

The proceeds from the USD issuance will be used principally to fund ITR’s purchase of onshore senior secured non-convertible debentures (INR NCDs) to be issued by IRB. IRB, in turn, will use the proceeds of the INR NCDs mainly to refinance existing debt, to fund capital expenditure and for general corporate purposes, Moody’s Investors Service said in a note.

ET last week, IRB was looking to raise offshore bonds.

The company will use three-fourth of the proceeds to repay local debt, the rest will be channelised for capital expenditure sources said.

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