India Inc raises Rs2,00,000 crore in 2010
25 Dec 2010
India Inc slaked its thirst for funds in 2010 with a record haul of over Rs200,000 crore from the equity and debt market during the calendar year.
The capital raised by Indian companies in calendar year 2010 topped by a third the Rs150,000 crore mop-up during the previous year, which held out hope for a global economy hit by the woes of western economies.
According to experts Indian companies seem to have leveraged the global financial crisis to their advantage, as they managed to extract better terms for attracting the funds required for business expansion activities.
Expectations are that the process would only intensify in the New Year.
Funds raised by Indian firms aggregated Rs200,123 crore in 2010 through equity issues in the form of Initial Public Offers (IPO), Follow-on Public Offers (FPO), Qualified Institutional Placement ( QIP ), rights issues and foreign depository receipts like global depository receipts (GDRs) as also debt instruments like external commercial borrowings (ECBs) and foreign currency convertible bonds (FCCBs).
According to analysts, fund-raising from the international market, through FCCBs, ADRs and GDRs was somewhat subdued as against the previous year with not a single ADR issue by Indian companies in the year.
