General Announcement::SGX welcomes NHAI's inaugural Masala bond listing

Issuer & Securities

Issuer/ Manager
SINGAPORE EXCHANGE LIMITED
Securities
SINGAPORE EXCHANGE LIMITED - SG1J26887955 - S68
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
19-May-2017 18:22:50
Status
New
Announcement Sub Title
SGX welcomes NHAI's inaugural Masala bond listing
Announcement Reference
SG170519OTHR2X6I
Submitted By (Co./ Ind. Name)
Yee Kai Pin
Designation
Vice President
Effective Date and Time of the event
19/05/2017 00:00:00
Description (Please provide a detailed description of the event in the box below)
Singapore Exchange (SGX) welcomed the inaugural rupee-denominated or Masala bond listing of the National Highways Authority of India (NHAI), an autonomous agency of the Government of India. Based in New Delhi, NHAI has responsibility for developing, maintaining and managing highways in India.

NHAI raised INR30 billion in the largest-ever issuance of Masala bonds with a five-year tenor at a coupon rate of 7.3%, which was priced at par. The listing attracted significant interest from an array of investors including first-time participants in Masala bonds. Fund managers and insurance companies made up 61% of the investors, private banks 21% and banks 18%. Overall, about 60% came from Asia and 40% from Europe.

Tng Kwee Lian, Head of Debt Capital Markets at SGX, said, "We are pleased to welcome the National Highways Authority of India's debut Masala bond listing, which has drawn significant interest from diverse investors. By tapping on the international debt capital market, NHAI has offered investors an opportunity to partake directly in India's growth story through offshore Indian-rupee bonds."

Rohit Kumar Singh, IAS Member (Finance) at NHAI, said, "We believe issuances like that of NHAI's help internationalise the Indian rupee and deepen the market for Masala bonds by attracting new sources of liquidity. India's infrastructure is at an inflection point, and it is our responsibility to ensure that we channel investor interest for the benefit of the nation's development. I thank Singapore Exchange for facilitating these efforts."

More than 80% of listed offshore bonds by Indian issuers are listed on SGX today, raising about US$66 billion. In the developing Masala bond market, over 70% of the instruments are currently listed on SGX.

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