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Tata Motors raising $250 million through ECB

07 Jun 2018 Evaluate

Tata Motors is raising External Commercial Borrowing (ECB) up to $250 million from lenders up to a maximum of $500 million in accordance with the Master Direction- External Commercial Borrowings, Trade Credit, Borrowing and Lending in Foreign Currency by Authorised Dealers and Persons other than Authorised Dealers. All proceeds from the facility will be fully used towards refinancing a part of the principal amount of the Borrower's Notes as permitted under the ECB Master Directions. The date of execution is June 6, 2018. The date of maturity is 7 years from the date of the Facility Agreement.

Earlier, the company announced a tender offer in respect of $500,000,000 4.625 per cent Senior Notes due 2020, inviting holders of the Notes to offer to sell for cash to the company the Notes held by the Noteholders.

Tata Motors is India’s largest automobile company. Through subsidiaries and associate companies, Tata Motors has operations in the UK, South Korea, Thailand, South Africa and Indonesia. Among them is Jaguar Land Rover, the business comprising the two iconic British brands.

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