Jio Credit's Stellar Bond Debut Surpasses Expectations

Jio Credit, the non-bank financing sector of Mukesh Ambani-led Reliance group, has effectively made its debut in the bond market. On Wednesday, the company raised a substantial Rs 1,000 crore from domestic investors.

The bonds, issued at a coupon rate of 7.19%, have a tenor of two years and ten months. Company officials confirm the issue was notably oversubscribed by three times, reflecting strong investor demand.

The initial aim was to raise Rs 500 crore, but the presence of a greenshoe option enabled them to retain additional subscriptions. This move has positioned their interest rate competitively in comparison to other non-bank finance companies.

In trading, shares of Jio Financial Services closed slightly higher at Rs 267.75 on the BSE, while the benchmark index saw a marginal rise.

(With inputs from agencies.)