IOC raises $500m through overseas bonds

State-owned Indian Oil Corporation (IOC) has successfully raised USD 500 million through an overseas bonds issue to fund its capital needs.

The issue "was finalised through the book building route for which IOC received an overwhelming response from investors across the globe," the company said.

The issue was oversubscribed by about four times and IOC received offers to the tune of about USD 2 billion.

"About 71% of investor contribution originated from Asia while offshore investors from Europe and the US contributed 25% and 4% respectively," it said.

The bonds will have a tenure of 10 years and be utilised for meeting part of IOC's capital expenditure requirements.

The deal, which was concluded earlier this week, was the second international bond issue of the company, the first being in January last year.

IOC Director (Finance) PK Goyal said, "The exceptional response received by our US dollar bond issue is an eloquent testimony to the confidence reposed by the global investors in IOC, India's only corporate in Top 100 of the Fortune Global 500 listing."