Funds raised by Indian companies from overseas markets during January-June 2006 were up 63 per cent over a year earlier.
Companies across sectors raised a total of $12.77 billion in the first half of 2006 against $7.83 billion a year earlier. In the whole of 2005, Indian companies raised a total of $17.18 billion from overseas markets.
The aggregate amount raised overseas was higher in the first six months of 2006, but there was a 56 per cent drop in funds raised through depository receipt issues during January-June 2006 compared with a year earlier.
The highest amount raised was in loans. Companies raised $6.96 billion in the first half of 2006, 116 per cent more than $3.21 billion a year earlier. Bharat Oman Refineries raised $1.34 billion, Tata Steel and Reliance Infocomm $ 500 million and ICICI Bank $600 million.
The next most popular instrument for raising funds overseas was foreign currency convertible bonds. Companies raised 4.02 billion in 2006 against $1.60 billion in the first half of 2005. The amount raised through FCCBs was 150 per cent more in 2006 from a year earlier.
Among the notable FCCB issues were those of Reliance Communications ($500 million), Mahindra & Mahindra ($200 million), Amtek Auto ($250 million), Jubilant Organosys ($200 million) and Aurobindo Pharma ($200 million).
A total of $689 million was raised through issue of bonds in the international market, 112 per cent more than $325 million a year earlier.
Funds raised through overseas equity issues amounted to $1.10 billion, down from $2.68 billion in the first half of 2005. The amount of debt raised from the domestic markets was Rs 32,247 crore (Rs 322.47 billion), nearly 20 per cent more than Rs 26,900 crore (Rs 269 billion) a year ago.
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