Mahindra & Mahindra Ltd.

Auto major Mahindra & Mahindra (M&M) reportedly has raised Rs 500 crore via 50-year unsecured bond sale programme. With this, the company has become the first domestic firm to sell such a long-tenure rupee debt instrument, which has assigned ‘AA+/ stable’ rating from CRISIL. The proceeds of the issue will be used for capex, project funding, refinancing of capex loans as well as long-term working capital requirements.

The bond, which carries a bullet redemption option (payment at the end of the maturity), yields an annual interest rate of 9.55% and does not have call or put option. Further, the issue, which was open for just a day i.e. July 2, was solely managed by Yes Bank.

Mahindra & Mahindra is the flagship company of the Mahindra Group. The company’s core automotive and farm equipment businesses have grown into market leaders whose triple bottom line ethic is driving industry trends towards technological innovation, social responsibility, and constantly improving customer satisfaction.