Shriram Transport Finance plans to raise $500mn via an offshore issuance within the next 2-4 weeks. The issuance is expected to be that of a 5Y bond. As per ET, if the issuance goes as planned, it would be the first offshore bond sale by a non-bank lender in 2022. In December 2021, Shriram group companies announced that it would merge unlisted Shriram Capital Ltd. with its listed units Shriram Transport Finance Co. and Shriram City Union Finance Ltd. This would make it the largest retail non-banking finance company (NBFC) in India with INR 1.5tn ($20bn) in AUM. Shriram Transport Finance has tapped the dollar bond markets in January in recent years. In January 2020, it raised $500mn via a 5.1% social bond due 2023 and in January 2021, it raised $725mn via a 4.4% social bond due 2024. The bonds are trading stable at 102.63 and 101.75, yielding 3.32% and 3.56% respectively. Shriram Transport Finance is currently rated BB by Fitch.
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