SP Group's Equizen company to raise funds up to $20 crore

Equizen Investment Company, a unit of Shapoorji Pallonji (SP) Group, plans to raise an amount ranging from $15 crore to $20 crore through rupee bonds. According to a report by Business Standard, bankers stated that this funding will be raised through the sale of zero-coupon rupee-denominated bonds, which will mature in July 2029.

A banker informed that the company will decide how much amount to borrow in rupees and will complete the process of this issuance by the end of November. Bankers stated that a portion of the company's approved borrowing limit is yet to be utilised, hence it seeks to reach its fundraising target. When the Shapoorji Pallonji Group was contacted regarding this matter, there was no response from their side.

Equizen Investment has previously raised funds in this manner as well. Earlier in July, an amount of ₹21,350 crore was raised with an 18.95% yield. In both these instances, another SP Group company, Mercury Finance, had raised funds through zero-coupon US dollar-denominated bonds maturing by July 2029 and had invested that amount in Equizen Securities.

On the other hand, the outlook for the real estate group's bonds has improved due to discussions regarding the sale of SP Group's stake in Tata Sons. Tata Trusts, the controlling shareholder of Tata Sons, had stated that the SP Group has proposed to sell its ₹25,000 crore stake in Tata Sons. However, due to differences between Tata Trusts and Tata Sons, this proposal has not yet been able to move forward.