MUMBAI, 14 JANUARY, 2021 (GPN): The bell ringing ceremony for the USD 1 billion, 10-year bond issuance was conducted on 14^th January, 2021 at BSE by Mr. David Rasquinha, Managing Director, Ms. Harsha Bangari, Deputy Managing Director, Mr. N. Ramesh, Deputy Managing Director and Mr. Sudatta Mandal, Chief General Manager & Chief Financial Officer of India Exim Bank, in the presence of Mr. Ashish Kumar Chauhan, Chairman, India INX and MD & CEO, Bombay Stock Exchange.

India Exim Bank, on January 04, 2021, successfully priced a 10 year Bond of USD 1 bn, its fourth transaction in the 144A/Reg S format, at a record low rate of 2.25% p.a. The issue attracted a total order book in excess of USD 3.5 billion at close, thereby achieving more than 3.5 times subscription from high-quality investors. The transaction was priced at CT10+145 bps, representing significant price tightening of 40 bps from the initial price guidance of CT10+185 bps area and well inside the fair value point on the curve. In terms of geographic distribution, the bonds were distributed 55% in Asia, 29% in USA and 16% from EMEA region. In terms of investor distribution, the bonds were distributed to high quality investors with around 68% distributed to fund managers, 17% to Sovereign Wealth Funds, Central Banks and Pension Funds, 14% to Banks and 1% to private banks.

Speaking on the occasion, Mr. David Rasquinha, Managing Director of India Exim Bank, said, “India Exim Bank is proud to open the global capital markets for 2021 with a successful 10-year USD 1 bn issuance.  The coupon of 2.25% p.a. is a record low for any 10-year bond issuance out of India. With our fourth such strong market opening issue, many other Indian issuers are likely to follow suit to access the foreign currency bond market.  The issue showcases strong confidence of overseas investors in India story. All India Exim Bank’s foreign currency bonds are already listed on India INX, and it makes us proud to say that India Exim Bank is cumulatively the largest bond issuer listed on India INX. India Exim Bank continues to look forward to strengthening the relationship with Indian INX for its future issuances.”

Ms. Harsha Bangari, Deputy Managing Director of India Exim Bank said “This is a proud moment for India Exim Bank as we mark today’s ceremony for listing of Exim Bank’s recent 144A/Reg S issuance of USD 1 billion on the India INX platform. This is the only 10-year transaction by an Indian Financial Institution in the last one year. The swift build to the book and the large book size, even after significant tightening by 40 bps demonstrates strong confidence of overseas investors in the India story and in India Exim Bank. Throughout the lockdown period, the Bank had been regularly engaging with overseas investors, a move that paid off well as investors bid aggressively. We look forward to listing our future issuances at the India INX and hope to have played a pioneering role towards development of the Exchange.”

Barclays, Citigroup, HSBC, J.P. Morgan, MUFG and Standard Chartered acted as Joint Lead Managers and book runners for the offering. Exim Bank of India has been rated as ‘Baa3 (Negative)’ by Moody’s, ‘BBB- (Stable) by S&P and ‘BBB- (Negative)’ by Fitch, same as the rating of Government of India. ENDS