South Asia

India’s plan to sell its first international bond has been caught in a battle of wills between the ministry of finance and the government. While any issuance is likely to be received well by the market, the sovereign should hold off on a deal until it is ready to present a united front to investors.

Temasek Holdings-backed Fullerton India Credit Company has invited banks to join a $250m debut borrowing.

Punjab National Bank is planning a return to the equity market with a Rp50bn ($725.5m) transaction, a year and a half after tapping investors for the same amount.

Private equity firm Blackstone has mandated four banks to support its acquisition of India’s Essel Propack (EPL), a specialty packaging company.

Mobile phone technology company Affle (India) has set the terms for its IPO, set to launch next week, according to a source close to the deal.

Greenko Energy Holdings found ample support for its $950m dual-tranche bond, thanks in part to the duration it offered investors, as well as the positive sentiment surrounding India.

India’s Oil and Natural Gas Corp has launched a $500m loan into general syndication to pay back a bond maturing this year.

Rural Electrification Corp took advantage of strong demand for Indian credits this week, raising $650m despite paying a negligible new issue premium.

India’s Adani Ports and Special Economic Zone has bagged $650m from 144A/Reg S bonds to fund a tender offer of notes due next year, pricing the new issuance at a competitive level.

The Indian government has sent out two requests for proposals for banks to handle the divestment of stakes in hydro-electric power company THDC India and railway construction firm Ircon International.

A wave of issuers — mostly Chinese — including China Mengniu Dairy Co and local government financing vehicle Guangzhou Development District Financial Holdings flooded the bond market on Thursday, riding the positive sentiment after the US Federal Reserve chairman Jerome Powell signalled a rate cut later this month.

India’s plan to sell foreign currency bonds for the first time has prompted eager speculation among debt bankers in Asia. While bankers disagree over when the deal will launch and exactly what fair value will be, many expect the deal to come with a razor-thin spread. Silas Brown reports.