Business & Economy
Debt private placement mobilisation up 21% to Rs 2.04 lakh crore in H1 of 2015-16.
New Delhi, November 23, 2015
The first half of the current fiscal 2015-16 witnessed a mobilisation through corporate bonds on private placement basis of Rs. 2,03,987 crore, according to Prime Database, which operates the country's premier database on debt private placements.
This amount was mobilised by 233 institutions and corporates, a press release from Prime said, adding that only such deals which have a tenor and put/call option of above 365 days had been considered.
On a period-on-period basis, the April-September period’s raising of Rs. 2,03,987 crore was an increase of 21 per cent over the Rs. 1,68,991 crore mobilised in the corresponding period of the previous year, courtesy higher raisings by the private sector, Mr. Pranav Haldea, Managing Director of Prime, said.
The highest mobilisation in the quarter was made by the private sector at Rs. 1,09,006 crore as compared to Rs. 70,407 crore in the corresponding period of the previous year, representing an increase of 55 per cent.
According to Mr. Haldea, mobilisation by public sector undertakings (PSUs) also went up by 56 per cent to Rs. 19,120 crore compared to Rs. 12,255 crore in the corresponding period of the previous year.
A fall in mobilisation was witnessed by All-India Financial Institutions/Banks, down by 11 per cent to Rs. 75,359 crore compared to Rs. 84,278 crore in the corresponding period of the previous year.
Mobilisation by State Level Undertakings (SLUs) too went down by 67 per cent to Rs. 502 crore compared to Rs. 1,502 crore in the corresponding period of the previous year. Mobilisation by State Financial Institutions (SFIs) went down to nil compared to Rs. 548 crore in the corresponding period.
Government organisations and financial institutions, put together, mobilised 35 per cent of the total amount, less than the 41 per cent in the corresponding period of the previous year.
According to Prime, among government organisations, All-India Financial Institutions/Banks led with a 72 per cent share, followed by a 27 per cent share by PSUs, 1 per cent by SLUs and 0 per cent share by SFIs.
The highest mobilisation through debt private placements during the period was by PFC (Rs. 19,312 crore), LIC Housing (Rs. 10,768 crore), HDFC (Rs. 9,701 crore), REC (Rs. 8,121 crore), IDFC (Rs. 7,042 crore), Indiabulls Housing (Rs. 6,277 crore) and PGCIL (Rs. 5,928 crore).
According to Mr. Haldea, on an industry-wise basis, the financial services sector continued to dominate the market, collectively raising Rs.1,39,963 crore or 68 per cent of the total amount. Power sector ranked second with a 9 per cent share (Rs. 17,962 crore).