ONGC Videsh raises $500 million loan from consortium of banks

16 May 2023 CW Team

ONGC Videsh, the overseas arm of the Oil and Natural Gas Corporation, has raised a $500 million foreign currency loan from a consortium of banks led by DBS, Bank of Baroda and State Bank of India. The loan, which is denominated in dollars and has a tenure of five years, is backed by ONGC's guarantee and is benchmarked to the three-month term secured overnight financing rate (SOFR).

"The loan came at a very competitive rate," said one of the people familiar with the matter, who did not wish to be identified.

ONGC Videsh has drawn down the loan and used the funds to repay $500 million in bonds that matured last week. The company had raised $800 million in bonds in 2013 to finance its stake in the ACG oil and gas project in Azerbaijan. The bonds had a maturity of five years and $300 million of them matured in 2018. The remaining $500 million matured last week.

DBS has the largest exposure among the three banks in the consortium. The lenders are now looking to expand the consortium and have launched a primary syndication of the loan. The syndication is expected to close by July. Roadshows have been held in Singapore, Tokyo and Taipei to attract new lenders.

ONGC Videsh is one of a small number of Indian companies that have raised external commercial borrowings (ECBs) in recent months. Indian borrowers are becoming more attractive to overseas lenders as the Chinese economy slows down and banks have fewer opportunities to lend there.

Also Read
AICTSL to modernise bus stops, introduce electric buses
Chennai Metro scraps plans to build 9 stations

Real Estate

02 Apr 2026

Indian real estate attracts USD 1.4 bn institutional investments in Q1 2026: Vestian

Institutional investments in India’s real estate sector touched USD 1.4 billion in Q1 2026, marking the highest first-quarter inflow since 2022, according to Vestian. While investments fell 62 per cent quarter-on-quarter due to an exceptionally high base in the previous quarter, they rose 74 per cent compared to the same period last year, reflecting sustained investor confidence despite rising geopolitical and macroeconomic challenges.Commercial real estate remained the key driver of investment activity during the quarter, accounting for 80 per cent of total inflows, sharply higher than 38 p..

VECV crosses 1 lakh annual vehicle sales milestone in FY26

VE Commercial Vehicles (VECV), a joint venture between Volvo Group and Eicher Motors, has surpassed the 1 lakh annual sales mark in FY 2025–26, recording its highest-ever commercial vehicle sales performance. The company said it sold more than 100,000 vehicles during the year, marking a major milestone aligned with the original vision of the Volvo–Eicher joint venture.The strong performance was supported by demand across categories. Light and Medium Duty (LMD) trucks contributed 47,789 units, accounting for 46.1 per cent of total sales. Heavy Duty (HD) trucks recorded 26,867 units (25.9 pe..

Rodic Digital & Advisory partners SatSure to deploy EO intelligence in public sector

Rodic Digital & Advisory (RDA), the strategic advisory and digital transformation arm of Rodic Consultants, has signed a strategic cooperation Memorandum of Understanding (MoU) with SatSure to jointly pursue opportunities in India’s public sector. The collaboration aims to integrate high-resolution Earth Observation (EO) data and geospatial AI into government workflows to strengthen monitoring, compliance, and operational decision-making across key sectors.The partnership combines SatSure’s Earth intelligence capabilities with RDA’s expertise in government digital transformation and ..