BPCL plans to raise INR 1,500 crore through NCDs in FY23
Oil marketing company (OMC) Bharat Petroleum Corp Ltd on Monday said it is planning to raise up to Rs 1,500 crore during the present fiscal through private placement of unsecured non-convertible debentures (NCDs). Shares of BPCL ended 1.70 per cent lower at Rs 326.05 apiece on the NSE today.
The debentures are proposed to be listed on the bourses on the Debt Market sector of the BSE and NSE.
“BPCL is planning to raise up to Rs 1,500 crore during the current financial year 2022-23 through private placement of unsecured non-convertible debentures subject to market conditions," Bharat Petroleum said in a regulatory filing.
“The details of the issue viz., class of investors, issue price, tenor, interest rate etc. will depend on the market conditions which will be intimated on crystallization of the issue," BPCL said.
In the meanwhile, BPCL reported a 31% fall in its December quarter profit, hurt by losses due to stagnant pump prices. The company's standalone net profit dropped to Rs 1,960 crore in the third quarter as against Rs 2,828 crore a year earlier.
The marketing under-recovery of oil marketing companies was hurt by retail prices that have remained static since April previous year.
On Feb 18, Anthony Blinken and Wang Yi met on the sidelines of the Munich Security Conference, an annual think-tank event that attracts the West’s top politicians, bureaucrats and thinkers Stagnant retail prices, in tandem with high crude oil prices, hurts OMCs' margins as they would not be able to recover costs for importing and refining the raw material.
Bharat Petroleum's market sales increased to 12.81 million metric tonnes (MMT) in the quarter from 11.15 MMT a year ago, indicating the firm's profit was hurt as it sold more fuel.
The refiner, however, saw its nine-month gross refining margins rise to $20.08 per barrel from $6.78 in the same period a year ago.
BPCL's revenue rose 13.7% to Rs 1.33 lakh crore in the latest quarter.
