Indian state-owned carrier Mahanagar Telephone Nigam (MTNL) is planning to raise as much as Rs19.95bn (US$363m) via a bond sale, according to a term sheet seen by Reuters.
The company is expected to issue 10 and 15-year government-guaranteed notes and…
Indian state-owned carrier Mahanagar Telephone Nigam (MTNL) is planning to raise as much as Rs19.95bn (US$363m) via a bond sale, according to a term sheet seen by Reuters.
The company is expected to issue 10 and 15-year government-guaranteed notes and the issue’s base size is Rs10bn (US$181.4m).
If successful, this would be the second issue for MTNL this year. In late March, the telco raised Rs10.05bn through a bond sale. The notes carried an 8.57% coupon.
Recently, the company received board approval to issue up to Rs30bn (US$544.4m) of non-convertible government-guaranteed bonds in 2013.
MTNL has been struggling in the competitive Indian market for many months now. Just days ago, the Indian telecoms ministry reportedly revived talks about a merger between MTNL and another beleaguered state-owned telco, Bharat Sanchar Nigam (BSNL), to help turn both companies around.
MTNL was unavailable for comment.
