IOC, BPCL, HPCL in Talks to Raise Rs 55 billion via Licence Fee Securitisation

Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL) are reportedly in discussions to raise RS 55 billion by securitising licence fees. Indian Oil aims to secure Rs 25 billion, and the plan involves leveraging licence fees to generate funds, reflecting a strategic financial move by the oil and gas companies. The talks signal an effort by these major players in the energy sector to explore innovative financing options. Securitising licence fees can provide them with a capital infusion to support various operational and investment requirements. The move aligns with their respective financial strategies and underscores the adaptability of India's energy industry to dynamic market conditions. As the companies progress in these discussions, the outcome will be of interest to stakeholders and industry observers, offering insights into the financial strategies employed by key players in the Indian oil and gas sector. The potential Rs 55 billion fund infusion could play a significant role in supporting the companies' growth initiatives and navigating the evolving landscape of the energy industry.