REC Ltd.

State-run Rural Electrification Corporation (REC) is planning to raise at least Rs 10,000 crore more this fiscal, mainly through bond issues and loans. The power sector lender has already raised around Rs 18,000 crore so far this fiscal. The company is hopeful of raising required funds despite of the European conditions, which are bit worrying.

For 2011-12, REC’s fund raising target is around Rs 28,000 to 30,000 crore. Out of this fiscal's fund raising target, around $1.5 billion would be from overseas markets. Further, REC is planning to appoint State Bank of India soon for arranging loans worth $250 million through syndication.

The company also expects to raise $200 million through the issue of Swiss franc-denominated bonds. For the same the company is planning for the road shows in various places including Zurich early next year. The mandate for managing the proposed Swiss franc bonds issue has been given to four entities -- UBS, Credit Suisse, RBS and Deutsche Bank.

Rural Electrification Corporation is engaged in providing financial assistance to state electricity boards, state government departments and rural electric co-operatives for rural electrification projects as are sponsored by them.