State-run ONGC has got its borrowing limit raised to Rs 35,000 crore to fund its acquisition of the government’s entire 51.1% stake in Hindustan Petroleum (HPCL) in an off-market deal. Earlier, the debt-free firm was given approval for mobilising Rs 25,000 crore from the market. ONGC’s CMD Shashi Shanker, however, said the company has kept all financing options open. “There are the options of internal accruals, liquid assets and short-term borrowings. We will exercise the most beneficial option available with us,” he said. The deal will be closed by the end of January. While the company has around Rs 13,000 crore in cash, its liquid assets include stake in the country’s largest refiner Indian Oil Corporation (13.77%) and gas utility GAIL India (4.87%).
To fund entire government stake in HPCL, ONGC’s debt limit raised to Rs 35,000 cr
State-run ONGC has got its borrowing limit raised to Rs 35,000 crore to fund its acquisition of the government’s entire 51.1% stake in Hindustan Petroleum (HPCL) in an off-market deal.
This article was first uploaded on January twenty-two, twenty eighteen, at twenty-eight minutes past six in the morning.
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