State-run REC raises $750 mn via green bonds

The funds raised from this bond sale will be used for financing green projects in approved by the RBI from time to time and in accordance with the ECB Guidelines.

REC issues bonds frequently and used a relatively stable market environment in the past week to carry out an intra-day execution.

The bond sale was followed by extensive investor roadshows spanning across two weeks in different geographies covering Singapore, UK and the US.

This is the first green bond issuance by an Indian company post India’s G20 Presidency.

The issue witnessed an over-subscription of approximately 3.5 times from 161 investors with active participation from quality accounts

Over 87% of the transaction was allocated to Fund Managers, Asset Managers and Insurance Companies.

REC CMD Vivek Kumar Dewangan said: “We are very delighted on successful completion of this transaction which reinforces REC’s status as one of the most accomplished and frequent issuer in the international capital markets. This green bond issuance is poised to contribute in India meeting its Amrit Kaal commitments towards climate action plan and energy transition with focus on green projects.”