HG bonds: Reliance Industries places $4B offering for refinancing; terms

India-based Reliance Industries Ltd. today completed a $4 billion, three-part offering across senior unsecured notes due 2032, 2052 and 2062.

Proceeds will be used to repay outstanding borrowings and for general corporate purposes, according to S&P Global Ratings and Moody's, which assigned respective BBB+/Baa2 ratings to the new notes.

Mumbai, India-based Reliance is a conglomerate engaged in energy exploration, development and production of crude oil and natural gas, as well as textile, retail, communications, and financial services.

Reliance Industries last tapped the market in November 2017, when it placed an $800 million offering of par-priced 3.667% 10-year senior notes due Nov. 30, 2027, at T+130.

S&P Global Ratings on Jan. 3 said its BBB+ rating reflects Reliance Industries' position "as one of the largest and most complex refiners globally, while maintaining the biggest market share in the wireless telecom market in India." It noted that efforts to monetize assets resulted in "significant balance-sheet deleveraging," allowing the agency to rate the company two notches higher than its long-term sovereign rating on India.

Moody's on Jan. 4 said its Baa2 rating is one notch above its assessment for India's sovereign grade, due to Reliance's "high dependence on the Indian economy through its digital services and retail businesses."

Terms: