India's IIFL Finance revives dollar-bond plan, to meet investors, sources say
- IIFL Finance is restarting its plan to raise up to $750 million via dollar bonds
MUMBAI: Indian gold loan financier IIFL Finance has revived a dollar-bond fundraise plan, and will start meeting investors this week, two sources aware of the matter said on Tuesday.
The fundraise would help the non-bank lender diversify its sources of funding, as the lender aims to increase the share of external borrowings to 20% from around 13% currently.
IIFL Finance had shelved a planned overseas borrowing in March as the Iran war pushed up bond yields globally.
“The company is planning to raise as much as $750 million through three-year dollar bonds, and would meet potential investors through a non-deal roadshow,” one of the sources said.
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Rates have stabilised and the company wants to know the expectations of investors, the second source said. “If all goes well, they would immediately announce the issue.”
The sources requested anonymity as the matter is still private. IIFL Finance did not immediately respond to a Reuters email seeking comment.
The firm, which also lends money for home purchases and gives out secured business loans, had assets of 490.27 billion rupees ($5.15 billion) as of December 31, with gold loans making up 89% and unsecured loans 8%.
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