Hong Kong: ICICI Bank, India’s second-largest lender, is expected to price a $300 million, five-year bond by Wednesday at about 75 basis points over mid-swaps, market sources said on Monday.
It will be the second visit to the offshore debt market in 2006 by ICICI, whose loan book is growing strongly. A source said the offer, assigned a BB-plus rating by Standard & Poor's, had been 1.5 times subscribed.
The bank's chief financial officer, Vishakha Mulye, told Reuters on September 19 that ICICI could raise more funds from the debt market in coming months as it expected faster growth in retail and corporate loans.
The bank's loans grew by 50 per cent from a year earlier to $32 billion in the quarter ended in June, with the international portfolio expanding 92 per cent to Rs 133 billion.
In August, the lender raised $340 million in perpetual, hybrid, tier I securities. The deal was more than 10 times subscribed as investors saw the deal as a way to tap into India's growth.
India's economy in the April-June quarter grew 8.9 per cent from a year earlier. Deutsche Bank and Merrill Lynch are joint book runners for the latest deal. The bank's shares were trading 3.42 per cent higher on the day around 0933 GMT, while the Bombay index was up 1.61 per cent.
Comments
0 comment