Power Finance Corporation (PFC) has raised R1,150 crore through bonds of short tenures, according to bond arrangers. PFC raised R1,100 crore through bonds that would be maturing on April 3, 2017, while also mopping up R50 crore via bonds with a tenure of two years at a coupon rate of 8%.
The company is believed to have raised R11,000 crore through bonds in March 2015. It is planning to raise close to R60,000 crore in FY16. Can Fin Homes, a housing finance company sponsored by Canara Bank, is also looking to raise R200 crore through three-year bonds, a bond arranger said.
SAIL and NPCIL are two other PSUs lining up to tap the bond market. SAIL had earlier raised funds through short-term bonds at 7.95%.
NPCIL is waiting for an approval from its board-level committee on the total borrowing quantum for the fiscal. In March, NPCIL issued long-term bonds worth R2,200 crore at 8.14% to be paid semi-annually, which was a discount of 26 bps compared to its previous issue.