IIHL Files NCD Offer to Fund Reliance Capital Acquisition

Hinduja Group's firm IIHL has submitted documents to generate Rs 3,000 crore via non-convertible debentures to help acquire Reliance Capital. The remaining funds needed for the Rs 4,300 crore deal are also being processed. The NCD, with a 3.5-year duration, is set to open for subscription next week.

Hinduja Group's IndusInd International Holdings Ltd (IIHL) has taken a significant step towards acquiring debt-laden Reliance Capital by filing documents to raise Rs 3,000 crore through non-convertible debentures (NCDs), sources disclosed.

The generated funds will partially finance the acquisition of Reliance Capital, part of a dual transaction process amounting to Rs 4,300 crore that hinges on regulatory approvals and administrative completion, the sources added. The offer document for the NCD has been submitted to the BSE.

The NCD, with a tenure of 3.5 years, is expected to be available for subscription early next week. IIHL has already deposited Rs 2,750 crore, its equity component, into a specially designated account monitored by the Committee of Creditors under the NCLT's guidelines. The NCLT Mumbai approved IIHL's Rs 9,650-crore takeover plan on February 27, 2024.

(With inputs from agencies.)