ECB, FCCB up 130% in Oct

During October 2009, total approvals received by Indian companies to raise capital through external commercial borrowings (ECBs) and foreign currency convertible bonds (FCCBs) have risen by 130% to $2.58 billion from $1.12 billion in October 2008 , according to data from the Reserve Bank of India (RBI) on ECBs and FCCBs, released on Monday. Approvals received by Indian corporates to raise funds in October 2009, through the automatic route is $2.34 billion as against $331 billion in September 2009. In September 2009, India Inc had raised $ 1.50 billion through the similar routes

There are seven FCCB deals in October. L&T Ltd has got an approval to raise $200 million through FCCBs, while Sterlite Industries Ltd and Sesa Goa Ltd (SESAGOA.NS : 366.8 +6.4) have an approval to raise $500 million each, with Tata Motors (TATAMOTORS.BO : 680.75 +7.15) to raise $375 million, for a period of five years.

Indian corporates had received an approval to raise funds through the ECB and FCCB route worth $1.08 billion in August 2009, $2.01 billion in July 2009 and $1.9 billion and $494 million in the month of June and May 2009, respectively.