Vadodara Municipal Corporation successfully raises Rs 100 crore on BSEBOND Platform
On March 24, 2022, Vadodara Municipal Corporation (“VMC”) successfully raised Rs 100 crore by issuing Municipal Bond on Private Placement Basis using BSEBOND (EBP Platform).
BSE, Asia’s oldest exchange and now world’s fastest exchange with the speed of 6 microseconds on 1st July 2016 had launched the platform for Electronic Book Mechanism “BSE BOND” for issuance of debt securities on private placement basis.
On March 24, 2022, Vadodara Municipal Corporation successfully raised Rs. 100 crore by issuing Municipal Bond on Private Placement Basis using BSEBOND. (EBP Platform). VMC received 36 bids on BSEBOND platform for Rs. 1,007 crores 10.07 times of the issue size. BSE is the preferred choice amongst Municipal Corporations to raise debt. With the successful fund raising of VMC on BSEBOND platform, BSE now hits a new benchmark of raising a total of Rs.3425 Crore in the Municipal Bond Space with a whooping market share of close to 88%.
Speaking on this occasion Shri Ashishkumar Chauhan, MD & CEO, BSE said, "We are glad that Vadodara Municipal Corporation has raised Rs. 100 Crores successfully using the BSEBOND Platform, a market leading platform for raising bonds in India. BSE firmly believes that Indian Bond Market is ready to expand its horizon manifolds and these borrowings can be judiciously deployed to augment infrastructure needs & Smart City planning.”
Shri Keyur Rokadia Mayor of Vadodara Municipal Corporation and Smt. Shalini Agarwal, IAS, Commissioner of Vadodara Municipal Corporation said, “Amidst the prevailing pandemic conditions and global tension, it is indeed very prestigious for VMC to get a massive over subscription of 10.07 times for its first ever Municipal Bond issuance of Rs. 100 Crore. By far this stands as the most competitive and lowest rate amongst Municipal Bond issuances in India. VMC hereby looks forward to judiciously deploy these funds in Sindhrot Water Supply Project, which will cater the needs of drinking water supply in the city as well as Liquid Waste Management Project which will help in disposal of sewage water effectively. We are extremely happy about our experience with BSEBOND platform and operational support of BSE Team all throughout the transaction.”