Vodafone raises Rs 8,800 crore to refinance corporate debt

Indian units of British telecom major Vodafone have raised Rs 8,800 crore to refinance corporate debt and for other corporate purposes, law firm Shardul Amarchand Mangaldas said today.
As per the deal disclosure issued by the firm, Vodafone's Indian units raised Rs 7,500 crore through private placement of rated, unlisted, redeemable, non-convertible debentures and another Rs 1,300 crore by simultaneous rights issues.
"The firm acted as sole transaction counsel in relation to the issuance and private placement of rated, unlisted, redeemable NCDs of Vodafone Spacetel, Vodafone Cellular and Vodafone South... Of Rs 7,500 crore; and simultaneous rights issues by members of the Vodafone India group, aggregating to Rs 1,300 crore," the law firm said in a statement.

It added that Hongkong and Shanghai Banking Corporation Limited and Standard Chartered Bank were the arrangers for the NCDs.
"The aggregate fund-raising was of an amount of Rs 8,800 crore, and the intended use of proceeds includes refinancing of corporate debt and general corporate purposes," the statement said.
The deal closed on June 9, it added.
Vodafone, which is facing retrospective taxation issues in India, was the top MNC investor in the country during April-February period of 2014-15 fiscal.
As per the data available with Commerce and Industry Ministry for April-February period, Vodafone India's USD 1.5 billion investment in May, 2014 was the biggest by any multi-national company.