BIZ-PIRAMAL-FUNDS

Despite the crisis of confidence

in the shadow banking sector, diversified Piramal Enterprises,

which has a substantial lending business, Friday said it has

raised Rs 5,000 crore at an average rate of 9.5 percent

through longer tenure bond sale in the last one month.

Its housing finance subsidiary Piramal Capital &

Housing Finance also raised Rs 4,000 crore of term loans in

the same period.

The fund raising was significant allaying concerns of

liquidity constraints in the non-banking finance industry in

the recent past. The group in a statement said the funds have

been raised through banks and mutual funds.

"The quantum of money raised in a month, as well as

the diversity of institutional participation, despite a

challenging market environment, further serves as a testament

to the quality of our loan book and robust underwriting

standards," Piramal Capital managing director Khushru Jijina

said in the statement.

The funds were raised at an average interest rate of

around 9.5 percent, he said, adding the focus is to increase

the maturity profile of its shorter term borrowings for better

liability management.

Billionaire Ajay Piramal-controlled Piramal

Enterprises has presence in pharma, financial services and

healthcare information management and generates close to 46

percent of its revenues from international markets.

Shares of Piramal Enterprises were trading 0.3 percent

lower at Rs 2,297 on the BSE against a 0.4 percent dip in the

benchmark.