MUMBAI: Sammaan Capital, formerly known as Indiabulls Housing, has successfully raised $300 million (approximately ₹2,600 crore) through three-year bonds aimed at international investors. This marks the company’s inaugural international bond issuance in its new identity.
The fundraising occurred at a yield of 8.95%, representing the first high-yield bond offering from India in the current fiscal year.
CEO Gagan Banga stated that the funds will help diversify the company’s funding sources. Following this issuance, 10% of Sammaan’s funding will come from international markets.
“We’ve been preparing for this issuance since April, waiting for the right investors, and we have successfully secured them. Our goal is to have 10% to 15% of our borrowings from overseas, which we are now on track to achieve with this 10%. Over the next year, we intend to raise an additional $500 million primarily from a multilateral agency,” Banga elaborated.
Deutsche Bank acted as the sole arranger for this bond but did not provide any comments. Currently, Sammaan’s assets under management (AUM) stand at ₹63,000 crore, with expectations of a 20% growth. The company’s liabilities total ₹50,000 crore, of which 10% comes from foreign sources.
Transitioning from Indiabulls Housing, Sammaan is a mortgage-focused non-banking financial company (NBFC) with a B+ international rating. The company rebranded in July 2024 and operates over 220 branches offering home loans in the affordable housing sector.
Additionally, Sammaan provides working capital loans to MSMEs and small businesses.
“Sammaan’s bond issuance is the first from India this fiscal year. The last was the Varanasi Aurangabad NH-2 Tollway (VAH), which took place a few months back. Given the prevailing global volatilities, growth apprehensions, and domestic challenges, issuers have remained cautious. It remains uncertain whether more issuances will surface in the upcoming months,” remarked an investment banker.
VAH, backed by ROADIS, secured $316 million at a 5.90% coupon rate at the end of February for the expansion project of the 192.4 km segment of NH-2 from Varanasi to Aurangabad.
