PFC raises $400 mn via Green Bonds
on government funding. Last month, at least three PSBs, including Punjab National Bank (Rs 5,000 crore), Union Bank of India (Rs 2,000 crore) and Syndicate Bank (Rs 1,150 crore), had together raised over Rs 8,000 crore. This was a part of the Rs 2.1-lakh crore recapitalisation package announced by the Centre.
PFC, a government-owned NBFC, has raised $400 million through its maiden Green Bond issue. The bond issue has attracted diverse participation from investors across Asia and Europe. PFC has priced the 10-year bond at a fixed rate coupon of 3.75 per cent. The pricing of the bond saw a tight spread of 157.5 basis points over the 10-year US Treasury. The bond is being listed on London Stock Exchange and Singapore Stock Exchange. During the last three years, PFC has seen a significant jump in its renewable business with loan disbursements growing by five times.