Reliance Industries’ $1,000-million issue of senior unsecured notes was oversubscribed 4.5 times by over 272 accounts, a press release from the company said today. The notes were rated BBB+ by S&P and Baa2 by Moody’s.

The notes were priced at 240 basis points over the 10-year US Treasury Note, at a price of $98.998 to yield 4.249 per cent.

The notes, denominated in US dollars, have a fixed interest of 4.125 per cent per annum, with interest payable semi-annually in arrears and shall rank pari passu with all other unsecured and unsubordinated obligations of the Company.

The funds raised, which RIL said was the biggest private sector oil and gas deal in Asia (excluding Japan) since its own guaranteed bond issue in 2012, will be used for its ongoing capital expenditure.

Geographically, the notes were distributed 31 per cent in Asia, 25 per cent in Europe and 44 per cent in the US, mostly to fund managers, insurance companies and banks.

V Srikanth, Joint Chief Financial Officer, RIL, commented, “This transaction opened up the market for private sector corporate issuances out of Asia, against the backdrop of challenging market conditions. We successfully concluded a swift intra-day execution to capitalise on the market window and lock in long-term funding at an attractive cost.”

Reliance Industries reported a 4.5 per cent dip in its December quarter net profit to Rs 5,256 crore, its first profit decline in nine quarters, after a steep fall in crude oil prices hurt its core refining business and margins.

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