REC Raises INR 5,000 Crore Through Issuance of Bonds

REC Ltd. has successfully raised INR 5,000 crore through bonds. While the NBFC under the Ministry of Power has raised INR 3,000 crore via 5-year bonds at a coupon of 6.87 percent, it raised the balance INR 2,000 crore via 10-year bonds at a coupon of 6.86 percent.

April 29, 2025. By Mrinmoy Dey

REC Ltd., a public sector enterprise under the Ministry of Power and a premier non-banking finance company, has successfully raised INR 5,000 crore through the issuance of bonds.

The offering included INR 3,000 crore through 5-year bonds at coupon of 6.87 percent and INR 2,000 crore through 10-year bonds at coupon of 6.86 percent.

The bond issuance witnessed an overwhelming response from market participants, reflecting strong investor confidence in the company’s robust financial position and growth prospects, said the company in a statement.

The bonds have been assigned a ‘AAA’ rating by prominent credit rating agencies – CARE Ratings, ICRA, and India Rating and Research Pvt Ltd (IRRPL) – signifying the highest degree of safety regarding timely servicing of financial obligations.

The bonds will be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), enhancing their liquidity and offering investors easy tradability.

REC is financing the entire Power-Infrastructure sector comprising Generation, Transmission, Distribution, Renewable Energy and new technologies like Electric Vehicles, Battery Storage, Pump Storage projects, Green Hydrogen, Green Ammonia projects etc.

More recently, REC has also diversified into the Non-Power Infrastructure sector comprising Roads & Expressways, Metro Rail, Airports, IT Communication, Social and Commercial Infrastructure (Educational Institutions, Hospitals), Ports and Electro-Mechanical (E&M) works in respect of various other sectors like Steel, Refinery, etc.

The loan book of REC stands at INR 5.65 lakh crore, market capitalization at INR 1,31,844 crore and net worth at INR 76,502 crores as on December 31, 2024.

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