Reliance Industries Limited, led by Mukesh Ambani, is negotiating with a number of banks to refinance debt that is due in 2025 with a loan of up to $3 billion, or about ₹25,500 crore. Since 2023, when the organization raised over $8 billion, this would be RIL’s first borrowing of this kind.
The loan, which is anticipated to be syndicated to a wider market in early 2025, is currently being discussed by RIL with roughly six lenders. The loan’s conditions are still being negotiated and could change. According to data compiled by Bloomberg News, RIL has $2.9 billion in debt obligations, including interest payments, that are due next year.
If concluded, it would be one of the biggest loans by an Indian company from abroad in more than a year. The borrowing is made at a time when the Indian rupee has weakened to its weakest ever level against the US dollar on account of ongoing selling of local equities.
It would be one of the largest foreign loans made by an Indian company in over a year if it were finalized. Because local stocks are still being sold, the Indian rupee has dropped to its lowest level ever compared to the US dollar at the time of the borrowing. RIL’s credit quality remains outstanding.
Moody’s has confirmed that it has rated the company at Baa2, which is one level higher than India’s sovereign grade. Despite “high capital expenditures,” Moody’s noted that this puts Reliance in a unique group of businesses with sound financials. For both the parent business and its telecom subsidiary, Reliance Jio Infocomm Ltd., Reliance raised $8 billion in 2023.
In that round of borrowing, 55 banks participated for a chance to be part of a high-profile credit deal.
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