India’s Torrent Power mulls 20 billion Indian rupee bond issue this month, bankers say

MUMBAI: Torrent Power is preparing to raise 20 billion Indian rupees ($220.54 million) via bonds in its largest fundraise from the markets, three merchant bankers told Reuters on Friday.

The company plans to issue staggered redemption bonds this month, maturing in eight, nine and 10 years, at a coupon of around 7.96%, the bankers said, adding that the discussions will likely conclude over the next week.

Axis Bank is the sole arranger for the issue, the bankers said, requesting anonymity because they are not authorised to speak to the media.

Torrent Power and Axis Bank did not immediately respond to emails seeking comments.

The bonds are rated AA+ by Crisil and India Ratings.

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Torrent Power is returning to the bond market after a two-year gap. It last raised 7 billion Indian rupees in February 2024 via bonds maturing in two, three, four and five years, each carrying an annual coupon of 8.40%.

Last month, another Torrent Group firm, Torrent Pharmaceuticals, raised 110 billion Indian rupees ($1.21 billion) via multi-tranche bonds in the largest acquisition-funding deal of fiscal 2026.

Torrent Pharmaceuticals, whose issue is also rated AA+, raised 20 billion Indian rupees via two-year bonds, 25 billion rupees via three-year bonds, 30 billion rupees via four-year notes and 35 billion rupees via five-year debt at a coupon of 7.45%.