India's Masala bond makes its debut on SGX

SINGAPORE Exchange (SGX) welcomed the inaugural listing of rupee-denominated or Masala bonds issued by one of India's largest mortgage lenders, Indiabulls Housing Finance Ltd (IBHFL), on Monday.

IBHFL raised 13.3 billion rupees (S$271 million) from its first Masala bonds, which have a tenor of three years. The bond was priced at 8.567 per cent and attracted close to 70 per cent participation from investors in Asia.

The company will invest the proceeds in its housing-finance business, particularly loans in the affordable-housing segment.

More than 80 per cent of listed offshore bonds by Indian issuers are listed on SGX, having raised US$66 billion, SGX said in a statement.