'Fund raising via debt placement hits 4-month low in Nov'

Fund raising by India Inc through private placement of debt securities or bonds fell to a four-month low of over Rs 11,000 crore in November. According to the data available with market regulator Sebi, companies garnered a total of Rs 11,175 crore from debt on a private placement basis through 92 issues.

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This was the lowest amount raised by companies through private placement of debt securities since August, when they had garnered Rs 2,089 crore. "In the corporate debt market, Rs 11,175 crore were raised through 92 issues by way of private placement listed at BSE and NSE during November 2013 compared to Rs 23,567 crore raised through 150 issues in October 2013," the Sebi said. In August, companies mopped up Rs 2,089 crore via debt placement route, making it the lowest amount raised by the firms in a month since February 2006, when they had garnered Rs 1,084 crore.

However, fund raising increased in September and October after new RBI Governor Raghuram Rajan announced measures to boost the weakening rupee and revive economic growth. With the latest fund mobilisation, overall capital raised through private placement of debt securities reached Rs 1.77 lakh crore in the first eight months of the current financial year against Rs 3.61 lakh crore mobilised during the last financial year (2012-13).