Tata Capital, the non-banking finance company (NBFC) of the Tata Group, has planned to enter the capital market on February 2, 2009 with a public issue of Rs 500 crore non-convertible debentures (NCD) with an option to retain over subscription of up to Rs 1000 crore.
The issue closes on February 24, 2009 or earlier or on such date as may be decided at the discretion of the Committee of Directors of Tata Capital subject to necessary approvals.
The NCDs have been rated 'LAA+' by ICRA and 'CARE AA+' by CARE. The ratings indicate high credit quality and low possibility of default or low credit risk. The net proceeds of the issue is proposed to be used for the company's various financing activities including lending and investments, to repay existing loans and business operations including its capital expenditure and working capital requirements. ICICI Securities, Citigroup Global Markets India and DSP Merrill Lynch are the lead managers to the issue. TATA Capital Markets is the advisor to the issue.
Speaking on this occasion, Praveen Kadle, MD, Tata Capital said, “The debut year for Tata Capital has been consistent with our business and growth plans. Tata Capital aspires to become one of the leading financial services company in India with a global footprint and build a brand which is admired and respected by all stakeholders.” |
