State-run REC on Wednesday said it has exclusively listed its recently issued $750-million green bonds, raised under its $7-billion global medium-term programme, on GIFT IFSC stock exchanges in Gandhinagar (Gujarat).
This is the largest senior USD tranche by an Indian non-banking financial company (NBFC) (largest senior green bond tranche by a South and South-East Asian issuer) and first green bond issuance by an Indian company post India’s G20 presidency, the power sector NBFC said.
The issue saw over-subscription of around 3.5 times from 161 investors, with active participation from quality accounts. Investors from across the globe participated in the issue — Asia Pacific (APAC) 42 per cent, Europe, Middle East and Africa (EMEA) 26 per cent, and the US 32 per cent, it added.
Over 87 per cent of the transaction has been allocated to fund managers, asset managers and insurance companies.
REC CMD Vivek Kumar Dewangan said, “We have consciously decided on the exclusive listing of REC’s recently issued green bonds on IFSC stock exchanges, which have come a long way in their acceptability amongst the global investors.”
IFSCA Chairperson Injeti Srinivas said, “We are pleased that REC has listed their $750 million green bonds exclusively on the IFSC exchanges. With this listing, the cumulative ESG labelled bonds listed on IFSC exchanges has crossed $10 billion. GIFT IFSC is emerging as a gateway to facilitate raising of foreign capital into sustainable projects in India, thereby contributing towards achieving our climate change commitments and SDG goals.”
NSE International Exchange MD & CEO V Balasubramaniam said that with this listing, REC’s total listing now stands at $4.75 billion under the $7-billion global medium-term note programme. This also takes the total bond issuance on IFSC exchanges to $51.7 billion-plus with the total medium-term notes worth over $73 billion.