Reliance Jio Infocomm, a wholly-owned subsidiary of Reliance Industries, is reportedly looking to raise $1.5 billion (INR 12,350 crore) in external commercial borrowings.
According to the Economic Times, the telecom giant is looking to fund its 5G capex through the ECB after the RBI increased the automatic route limit to $1.5 billion. It is in talks with BNP Paribas, HSBC, MUFG Bank, Bank of America, Credit Agricole, DBS Bank, and Société Générale, among others, about a loan. According to the report, the fundraise could be completed by November 2022. The current fundraise is in addition to the $2.5 billion (INR 20,600 crore) offshore syndicate loan that the company intends to raise to purchase Ericsson and Nokia 5G network equipment. According to the report, the $1.5 billion offshore loan will be priced by adding 150-165 basis points to the secured overnight financing rate (SOFR).
