Piramal Capital & Housing Finance Ltd on Monday said it has raised ₹4,050 crore through two tranches of five-year non-convertible debentures (NCDs).
The first tranche of ₹2,000 crore opened on 10 March with a pay-in on 12 March, while the second tranche of the remaining ₹2,050 crore opened on 18 March with a pay-in on 19 March.
“Since the beginning of FY2020, we have significantly transformed the liabilities profile towards more stable, long-term sources of funds. The company has raised over ₹50,000 crore since April 2019, through multiple long-term borrowings and equity transactions, thereby materially strengthening the balance sheet,” said Rajesh Laddha, executive director, Piramal Enterprises Ltd. The company said CARE Ratings has assigned an ‘AA’ rating for both issues.
The fund-raising comes weeks after the Reserve bank of India approved Piramal’s bid to acquire troubled Dewan Housing Finance Corp. Ltd (DHFL). The total consideration for DHFL was ₹34,250 crore, including an upfront cash component of ₹14,700 crore and a deferred component of ₹19,550 crore.
The parent company Piramal Enterprises has transformed its liabilities profile towards more long-term borrowings and has raised over ₹50,000 crore since April 2019, the statement said.
“It has raised over ₹32,000 crore of long-term borrowings since April 2019, while significantly reducing the commercial paper exposure from ₹18,017 crore in September 2018 to ₹1,050 crore as of December 2020,” it added.
