7 firms to list their commercial papers on BSE for Rs 8,812 crore issue size

New Delhi, Jan 15 () Leading stock exchange BSE on Wednesday said seven companies, including Grasim Industries Ltd, Reliance Jio Infocomm Ltd and HDFC Securities Ltd, have filed applications to list their commercial papers (CPs) with the bourse for a total issue size of Rs 8,812 crore.

Indian Railway Finance Corporation, Reliance Jio Infocomm Ltd, Julius Baer Capital (India) Pvt Ltd, Grasim Industries Ltd made applications to list their CPs at BSE for issue size of Rs 4,000 crore, Rs 1,750 crore, Rs 1,075 crore and Rs 1,000 crore, respectively, BSE said in a release.

Besides, HDFC Securities Ltd, Shriram City Union Finance Ltd and KEC International Ltd made applications to list their CPs at BSE for issue size of Rs 490 crore, Rs 477 crore and Rs 20 crore, respectively, it said.

After the process, the effective date of listing CPs with the exchange will be January 16, it added. Advertisement

"Till date 84 issuers have done 677 issuances of commercial papers and have successfully listed CPs of Rs 1,97,882 crore on BSE. The weighted average yield of these issuances is 6.06 per cent with an average tenor of 148 days", BSE noted.

A CP is an unsecured money market instrument issued in the form of promissory notes that enables highly rated corporate borrowers to diversify their sources of short-term borrowing and provides an additional instrument to investors.

Such instruments can be issued for maturities between a minimum of 7 days and a maximum of one year from the date of issue.
Advertisement

CPs are usually issued at a discount from face value and reflect prevailing market interest rates. AST RVK
{{}}

(This story has not been edited by Business Insider and is auto-generated from a syndicated feed we subscribe to.)