Issuance Part of REC Limited’s USD 7 billion Global MTN Programme –
Cyril Amarchand Mangaldas (CAM) advised in relation to REC’s Limited’s USD 750 million issuance of 5.625% green bonds (“Notes“). CAM advised the “Dealers” to the transaction, namely, Barclays Bank PLC, DBS Bank Limited, MUFG Securities Asia Limited, State Bank of India (London Branch) and Standard Chartered Bank. This is REC Limited’s first overseas bond issuance in two years. The issuance of the Notes represents the largest ever senior USD tranche by an Indian NBFC, and the largest ever senior green bond tranche by a South/ South-East Asian issuer.
The Capital Markets Practice of Cyril Amarchand Mangaldas advised on the transaction. The transaction team was led by Gokul Rajan, Partner and Regional Head Markets Practice – Northern Region; with support from Chinar Gupta, Associate; and Iti Mishra, Associate.
As a part of the transaction, REC Limited has raised USD 750 million through the issuance of 5.625% green bonds with a five-year maturity under its existing USD 7 billion Global Medium Term Note (MTN) programme by way of note offering circular dated April 3, 2023. The Notes are listed at (i) the India International Exchange (IFSC) Limited; and (ii) the NSE IFSC Limited.
The net proceeds from the issue of Notes will be applied by REC Limited to finance the new or existing power, logistics and/or infrastructure projects in India in renewable energy category, or clean transportation category or other categories as described in REC Limited’s green finance framework in accordance with the approvals granted by the RBI from time to time and in accordance with the ECB Guidelines.
Other parties to the transaction included Allen & Overy (Asia) Pte Ltd (acted as International legal counsel for Issuer), Linklaters Singapore Pte. Ltd (acted as International legal counsel for Dealers)..
The listing of Notes was completed on 4th April 2023.
About Cyril Amarchand Mangaldas
Cyril Amarchand Mangaldas (cam) is India’s leading law firm with a global reputation of being trusted advisers to its clients. The Firm advises a large and diverse set of clients, including domestic and foreign commercial enterprises, financial institutions, private equity and venture capital funds, start-ups, government and regulatory bodies. The Firm generalists, specialists and senior ex-regulators expertly guide clients across a spectrum of transactions, sectors and regulations. With 1000 lawyers and 160 Partners, the Firm is the largest full-service law firm in India and offices in key business centres at Mumbai, Delhi-NCR, Bengaluru, Ahmedabad, Hyderabad, Chennai, GIFT City and also in Singapore.
The Firm recently received “Innovation in Advancing Markets” award at the FT Innovative Lawyers Asia Pacific 2022 Awards and the “National Law Firm of the Year: India” award at the IFLR Asia Pacific 2022 awards ceremony. The Firm had won “India Deal Firm of the Year” at the ALB India Awards and “Firm of the Year” at the IFLR1000 India Awards in 2021.
