Companies & Sectors
IFC issues 15-Year Masala Bond for development in India
The 15-year, Rs200 crore Masala bonds would be listed on LSE and its proceeds would be used to advance private sector development in India, says IFC
 
IFC, a member of the World Bank Group, has issued Rs200 crore-or nearly $30 million-in 15-year Masala bonds, marking the longest-dated offshore rupee bond to be issued. The issuance will be listed on the London Stock Exchange and proceeds of the bonds will be used to advance private sector development in India.
 
In a statement, IFC says, the bonds will help deepen India's capital markets by extending the yield curve and setting a pricing benchmark for future issuances with similar maturities. IFC has previously issued Masala bonds in maturities of three, five, seven, and 10 years.
 
"Lasting prosperity depends on strong and efficient capital markets," said IFC VP and Treasurer Jingdong Hua. "With our latest Masala bond issuance, IFC has created an offshore rupee-market yield curve that stretches from three to fifteen years, deepening the market and making it more resilient. This sends a clear signal that investor demand for high-quality assets in India remains strong, despite global financial uncertainties."
 
The triple-A-rated bonds are issued under IFC's $3 billion Masala bond program. Under the program, IFC has issued bonds worth almost Rs11,000 crore, including the first green Masala bond to support climate-smart investment in India. IFC has invested proceeds of the Masala bond program in 11 private sector development projects in India.
 
IFC has also issued onshore Maharaja bonds under a $2.5 billion program for issuances in India's domestic capital markets.

User

Bharti Airtel to buy Videocon's spectrum in six circles
New Delhi : Bharti Airtel on Thursday said it will acquire Videocon Telecom's radio frequency spectrum in six circles for Rs.4,428 crore in yet another deal after the government liberalised the trading and sharing of scarce airwaves among operators.
 
"Bharti Airtel has entered into a definitive agreement with Videocon Telecommunications Limited to acquire, at an aggregate consideration of Rs.4,428 crore, the rights to use 2x5 MHz spectrum in the 1,800 MHz Band," the company said in a regulatory filing.
 
The six circles are Bihar, Haryana, Madhya Pradesh, Uttar Pradesh (East), Uttar Pradesh (West) and Gujarat. The spectrum allocation in these circles is valid till December 18, 2032.
 
This deal came a day after Idea Cellular terminated its spectrum trading agreement with Videocon Telecom for its Gujarat and Uttar Pradesh (West) circle. Bharti Airtel's stocks were trading at Rs.348.40 per share in the BSE, up 2.58 percent, at 12.40 p.m.
 
Earlier, Reliance Communications had announced that it has signed a deal for trading and sharing of airwaves with Jio in the 800 MHz band, covering virtually the entire country. A roaming deal was also on the cards.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

User

'Rs.2,500 air ticket to dramatically change India's civil aviation'
Hyderabad : Air ticket at Rs.2,500 for 500 km travel proposed in the draft civil aviation policy will be a game changer for the sector with India expected to add 50 new airports every year, Civil Aviation Secretary R. N. Choubey said on Wednesday.
 
He believes the 350 million strong middle class offer an opportunity for 500 percent growth against the existing 20 percent growth.
 
Talking to reporters at India Aviation 2016 here, he said the process for implementation of plans for regional connectivity and affordable air tickets would be set in motion once the civil aviation policy is announced next month.
 
Stating that 350 airstrips built since World War II and scattered all over the country are a goldmine for India, the official said 50 of them will be developed in no-frill airports every year for the next three to four years.
 
Choubey said for the airlines connecting an unserved airport with the served airport, the government proposed to offer several concessions like no landing parking charges, no excise duty, no Value Added Tax (VAT) and no central tax.
 
As even these concessions may not bring down price to tipping point of Rs.2,500 for 500 km travel, the government will provide Viability Gap Funding (VGF).
 
Choubey said the issue came up for deliberations earlier in the day, where all aircraft manufacturers were present. He said all the firms believe that India is the country to go as it has 350 million middle class whose purchasing power parity is equal to European countries.
 
He pointed out that currently 70 million were flying. "It means that on an average a middle class Indian travels once in five years. This figure is shocking. In purchasing power parity terms it is not as if average middle class India can't buy air ticket once a year for Rs.2,500," he said.
 
The official said this was not happening because the people have to drive six hours from their place of stay to catch a flight and also the fares are not affordable. "If one has to pay Rs.5,000-Rs.5,500 for 500 km, this will not happen," he added.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

User

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Online Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine)