Tata Capital to issue green bonds, NCDs to raise Rs 15,000 crore

Tata Capital, the Tata group’s financial services firm, is planning to raise ₹15,000 crore ($1.72 billion) through debt including issuing green bonds and non-convertible debentures. The board of directors of the company cleared the fund raise plans early this month.

Tata Capital, which is facing the Reserve Bank of India’s (RBI’s) deadline to get its shares listed by September this year, will use the proceeds for on-lending purposes and business operations.

Funds raised by green bonds are lent for projects like renewable energy, energy efficiency, or clean transportation etc.

The twin issues were cleared by the board on February 6th including raising ₹10,000 crore by way of green bonds, market linked NCDs on a private placement basis.

Another ₹5,000 crore is to be raised by issuing secured redeemable NCDs with a liquidity window facility, as per company’s filings.