It’s been a hard time past few months for Corporates in their endeavour to raise Capital…Equity or Debt
Safety has been a paramount concern with lenders with focus on ‘Return of Capital’ and not just ‘Return on Capital’
It was in this vacuum that Tata Capital launched it’s Non Convertible Debenture Issue offering yields of 12 % pa
The ‘Timing’ was opportune…as investors were searching for safe yet higher yielding Instruments…….The ‘Tata’ name assured safety…and the ‘Terms’ were attractive ,offering several options for the Product with a yield of 12% pa when Interest rates are poised to fall
The Issue has raised over Rs 1000 crs and even retail investors have subscribed heavily
Contrary to speculation that Tata Capital will now extend financial aid to Tata Group,it’s MD states that regulations do not permit investing or lending to the Promoter Group
The Capital raised will be used to expand Retail and Corporate Lending Operations