Tata Communications Plans To Raise Rs 1750 Crore Through NCDs Issuance

Tata Group's Tata Communications Ltd. on Wednesday, August 23, announced that it plans to raise Rs 1,750 Crore through the issuance of non-convertible debentures (NCDs).

On the basis of private placements with eligible investors, the company would issue 1,75,000 NCDs having a face value of Rs 1,000,000 apiece, aggregating to Rs 1,750 crore.

The NCDs' deemed date of allotment is August 29 and will mature 3 years from the allotment date.
The NCDs are proposed to be listed on the Wholesale Debt Market Segment of the National Stock Exchange of India Limited (NSE), the company said.

Type of securities proposed to be issued	Rated, Unsecured, Redeemable, Rated, Listed, NCDs.
Type of issuance (further public offering, rights issue, depository receipts (ADR/GDR), qualified institutions placement, preferential allotment etc.)	Issued on Private Placement basis to eligible Investors
Total number of securities proposed to be issued or the total amount for which the securities will be issued Size of the issue	Issuance of 1,75,000 NCDs of face value ₹1,00,000 each aggregating to ₹1,750 crores
Whether proposed to be listed? If yes, name of the stock exchange(s)	Yes. The NCDs are proposed to be listed on the Wholesale Debt Market Segment of the National Stock Exchange of India Limited (NSE).
Tenure of the instrument - date of allotment and date of maturity	Deemed Date of Allotment: August 29, 2023 Date of Maturity: 3 years from the Deemed Date of Allotment
Coupon / interest offered, schedule of payment of coupon/interest and Principal	Coupon offered: Fixed Rate Coupon basis bidding at Electronic Book Provider (EBP) Platform of NSE. The bidding on EBP can be on uniform yield / multiple yield allotment basis. Schedule of Interest Payment: Annua
Charge / security, if any, created over the assets	Not Applicable. The NCDs are unsecured.
Special right / interest / privileges attached to the instrument and changes thereof	Not Applicable
Delay in payment of interest / principal amount for a period of more than three months from the due date or default in payment of interest / principal	None
Delay in payment of interest / principal amount for a period of more than three months from the due date or default in payment of interest / principal	None
Details of redemption of debentures	Redeemable on maturity

Meanwhile, in a separate filing, the company unveiled its global, cloud-based 5G roaming lab, allowing telecom operators to test 5G standalone network use cases before rolling out the service to users.

Tata Communications shares on Thursday opened at Rs 1821.30 apiece on BSE, currently trading at Rs 1825.45 apiece, up 0.30% from the previous close. Its previous close was Rs 1820 apiece.

The stock has gained 7.85% in the last 1 week, while 12.70% in the last 1 month. It has given 56.56% positive return in the last 1 year.

Tata Communications Ltd. is Tata Group's telecom sector large-cap company. It has a market cap of Rs 52,012.50 Crore.