Wipro IT Services raises US$ 750 million from overseas bond sale
- IBEF
- June 25, 2021
On Thursday, Wipro announced that Wipro IT Services, its subsidiary, has raised US$ 750 million from the sales of overseas bond. The company announced last week that its subsidiary (Wipro IT Services) would raise US$ 750 million on June 23, 2021. The related proposal was approved by the company’s board on June 10, 2021.
As per a regulatory filing published on Thursday, “Wipro IT Services LLC (Issuer) raised US$ 750 million by the allotment and issue of 1.50% notes to qualified institutional buyers”.
The filing noted, under the agreement, Wipro has commenced guarantee commitments related to the notes. Under the guarantee, its potential liability is covered at an amount equal to 105% of the total aggregate principal amount of the notes outstanding from time to time, being initially US$ 787.5 million (guaranteed amount).
The filing added that subject to the guaranteed amount, the guarantee will be issued upon settlement in full amounts due under the notes and guarantee. In its earlier filings, Wipro stated that the issue date of the Notes is June 23, 2021 which will mature by June 23, 2026.
The net earnings of the notes are planned to be leveraged for refinancing current debt and general corporate objectives.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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