Tata Chemicals raised Rs 1,500 crore through the allotment of non-convertible debentures (NCDs) on a private placement basis.
The company in its regulatory filing said it has allotted 1,50,000 listed, unsecured, rated, redeemable, taxable, non-cumulative non-convertible debentures, having a face value of Rs 1 lakh each, for cash.
“The Internal Committee has today, on December 17, approved the allotment of 1,50,000 listed, unsecured, rated, redeemable, taxable, non-cumulative non-convertible debentures, having face value Rs 1,00,000/- each, for cash, aggregating to Rs 1,500 crore, for a tenor of 2 years 364 days, to identified investors on private placement basis,” the company released in its BSE filing.
NCDs with 7.06% fixed coupon
The NCDs have a tenure of two years and 364 days, and carry a fixed rate coupon of 7.06%.
The debentures have been issued to identified investors based on multiple yield allotment methods, it added. The NCDs will be listed on the Debt Segment of National Stock Exchange of India (NSE). The allotment was approved by the internal committee constituted by the board of directors of the company, Tata Chemicals said.
NCDs are debt instruments issued by companies to raise long-term funds. They are popular among investors seeking stable, fixed returns without equity exposure.
Share price of Tata Chemical
The share price of Tata Chemical declined 27.49% so far this year.