Linklaters advises on the substantial majority of international bond transactions from India in the first four months of 2019

The recent overhaul of the Reserve Bank of India’s external commercial borrowings policy has eased the process of Indian companies raising debt in the international capital markets. In turn, this has led to more Indian companies seeking funding from international investors.

Within the first four months of 2019, Linklaters has advised on 14 bond issuances, with a collective value of more than US$11.8 billion. This represents the substantial majority of the international debt capital markets transactions from India that have been executed during this timeframe.

Linklaters advised on the very first issuance from India in 2019, by Indian Oil Corporation Limited, one of India’s largest oil and gas companies, and went on to advise on bond transactions by State Bank of India, CNH Industrial Capital (India) Pte. Ltd, NTPC Limited, Canara Bank, Indian Railway Finance Corporation, IndusInd Bank Limited, Toyota Financial Services India Limited and Export-Import Bank of India. The firm also advised on high yield bond issuances by JSW Steel, Shriram Transport and Renew Power (among others) as well as acting for the dealer managers on the consent solicitation by REC Limited, having previously acted on the tender offer by Bharti Airtel International (Netherlands) B.V., a subsidiary of Bharti Airtel Limited a few months earlier. Linklaters also continues to advise on the majority of bond transactions by non-bank finance companies.

The Rule 144A/Reg S transaction by Renew Power is a notable example of Linklaters expertise in advising on complex high yield transactions, involving a deep knowledge of the Indian regulatory framework. The transaction involved the co-issuance of US$435 million senior secured green bonds by 8 subsidiaries of Renew Power, marking the first ever co-issuance deal from India, and one of the first in Asia. The covenants in this transaction involved a mix of high yield and project bond styles and were specifically designed to address local law restrictions. The firm continues to advise other Indian renewable companies on high yield transactions with various structures.

Capital Markets partner, Amit Singh commented:

“The Linklaters India focused capital markets team is committed to supporting the continued long-term growth and development of the India capital markets practice. We look forward to a strong year of issuances from India and remain focused on finding innovative solutions for our clients’ funding requirements.” 

Linklaters has one of the largest India focused capital markets practices of any international law firm. Led by Amit Singh, the team includes partners Hyung Ahn and Jonathan Horan and counsel Michele Discepola and Phillip Hall, who are supported by a team of more than 20 capital markets lawyers.