Tata Motors announced today the pricing of $500 million Senior Notes due 2023 at a coupon of 5.625 per cent per annum. This is the second time in less than a year that JLR has raised capital through the issue of bonds. The company had raised Pound 500 million (Rs 4,000 crore) last year.
The Notes will be guaranteed on a senior unsecured basis by Jaguar Land Rover Limited, Land
Rover, Jaguar Land Rover North America LLC, Land Rover Exports Limited and Jaguar Land Rover Exports Limited.
Kenneth Gregor, Chief Financial Officer, Jaguar Land Rover said, “We are pleased to have completed this transaction successfully which we believe demonstrates the confidence of the market in our company and plans.”
The net proceeds from the issuance and sale of the notes will be used for general corporate purposes, including to support Jaguar Land Rover’s on-going growth and capital spending plans.
Tata Motors' stock on the Bombay Stock Exchange hit an intra-day high of Rs 315.8, a growth of 2.34 per cent against its previous day's close.
C. Ramakrishnan, Chief Financial Officer, Tata Motors, added, “This transaction further
strengthens our overall balance sheet and capital structure, and we thank the investors for their
support.”
In 2011, the UK-based auto maker had raised Pound 1 billion (over Rs 7,300 crore) to refinance its debt and other purposes. In 2010, the company had raised Pound 340 million loan from the European Investment Bank for its R&D.
