ICICI Bank Raises $106 Million through Bond Sale

Among the investor types, a majority (65 per cent) came from fund houses, while insurance companies accounted for 20 per cent, private banks 10 per cent and state-run lenders 5 per cent, Mr Singh said.

This is the third issue by ICICI Bank and makes it the second domestic lender, after IDBI Bank, to sell bonds to offshore Chinese investors.

After lying low for the past one month or so, domestic corporates are back to the overseas debt market, according to industry experts.

Rating agency S&P had given a BBB- rating to the senior unsecured renminbi notes, which will be listed on the Singapore exchange. The rating reflects the long-term counter- party credit rating on the bank.

"The proposed notes will constitute direct, additional, unsecured and unsubordinated obligations of ICICI Bank. They shall, at all times, rank at par among themselves and with all other unsecured obligations of the bank. The proposed notes will be listed on the Singapore exchange," S&P said in a statement from Singapore.

Between January and April, over a dozen corporates went on an aggressive debt raising spree, netting a whopping $11 billion, led by the $.5-billion double issue by Bharti Airtel and a $800-million perpetual bond issue by Reliance Industries.

During the year, Exim Bank raised nearly $1 billion in three instalments. Tata Communication, HDFC Bank and a clutch of public banks also raised foreign debts.

Also Read:
Top 10 Indian Companies Greatly Involved in Philanthropy
6 Successful Companies with Bad Reputations