Tata Chemicals raises $100 mn in US private placement
The Economic Times — September 18, 2007

Tata Chemicals raised $100 million through a private placement in the United States in August, a few days before India tightened rules on foreign borrowing, a senior official said on Tuesday.

"We just finished our programme of funding," R Mukundan, executive vice president, chemicals, told reporters on the sidelines of a press conference.

"We actually raised it just before the caps were put in place, so for us it has not been an impact at all," Mukundan said, refering to the impact of the tightening.

India had tightened rules on foreign borrowing by local firms on August 7, a move analysts had said would raise borrowing costs for the companies by 1 to 2 percentage points.

The private placement was led by the Bank of America, and the proceeds would be used for purposes including acquisitions, Mukundan said. He however did not rule out the possibility of the company requiring further funding.