ICICI Bank raises Rs 5,000 cr infrastructure bonds for funding projects

13 Dec 2022 CW Team

ICICI Bank, a private sector lender, has raised Rs 50 billion through infrastructure bonds to fund projects in sectors such as power and roads.

The coupon on seven-year paper was set at 7.63 percent, about 25 basis points higher than the yield on government benchmark bonds of comparable maturity. This fundraise came a day after the Reserve Bank of India's Monetary Policy Committee decided to raise the policy repo rate by 35 basis points to 6.25 percent.

ICICI Bank's infra bonds had a base issue size of Rs 10 billion, with a greenshoe option of Rs 40 billion. Investors bid close to Rs 200 billion for the issue, according to debt market sources.

In addition to ICICI, banks that raised funds through infrastructure include Bank of Baroda and the country's largest lender, State Bank of India. SBI raised Rs 10,000 crore last week with its first issue of 10-year infrastructure bonds with a coupon of 7.51 percent.

In the current fiscal year, lenders have raised a total of Rs 196 billion through infra bonds (Fy23). In fiscal year 22 (FY22), Indian lenders such as Axis Bank and HDFC Bank raised over Rs 270 billion through infra bonds.

CRISIL has assigned a "AAA" credit rating to ICICI Bank's infrastructure bonds. According to an analyst presentation, its outstanding infrastructure bond borrowings stood at Rs 408.24 billion at the end of September 2022, up from Rs 223.14 billion the previous year.

Infrastructure Urban

07 Jul 2026

IHC and Adani to Invest US$11.5 bn in Odisha Aluminium Project

Abu Dhabi's International Holding Company (IHC) will invest US$11.5 bn in an integrated aluminium project in the eastern Indian state of Odisha in a joint venture with the Adani Group, a state official said. The official said the announcement represented the country's largest foreign investment in mining and metallurgy. Officials said the venture would span both mining and metallurgical activities across several facilities in the state. The project has been described as integrated, encompassing upstream bauxite extraction and downstream smelting and metallurgy, and is intended to develop a com..

Air India and SIAEC to Explore MRO Joint Venture in India

Air India and SIA Engineering Company (SIAEC) have signed a memorandum of understanding (MoU) to explore the formation of a maintenance, repair and overhaul joint venture in India. The MoU, signed on Friday, will examine collaboration to develop India as a global aviation MRO hub and to serve growing needs across the Indian and regional markets. SIA Engineering Company, part of the Singapore Airlines Group which holds a 25.1 per cent stake in Air India, will bring technical expertise alongside Air India's established airline operations network. The partnership builds on existing cooperation be..

Assam and Centre Review Aviation Projects Push Silchar Airport Approval

Assam and the Centre on Thursday, July two reviewed a series of aviation infrastructure projects aimed at strengthening air connectivity across the state, with the proposed greenfield airport at Silchar emerging as a key priority. The review formed part of broader efforts to position Assam as a major aviation and logistics hub for the north east. Officials outlined timelines and preparatory work that they said would guide the next stages of project approvals. The Chief Minister met the Union Civil Aviation Minister at Rajiv Gandhi Bhavan in New Delhi and described the meeting as very productiv..