Blue Star Limited, India’s air conditioning and commercial refrigeration player, announced that it has successfully completed raising Rs 350 crores through private placement of Non-Convertible Debentures (NCDs).
The NCDs will be listed on the Wholesale Debt Market of National Stock Exchange of India Limited. The NCDs are unsecured and carry a coupon rate of 7.65% with a tenure of three years along with a call option at the end of two years with the Company for half of the NCD amount. The proceeds from the issue shall be primarily utilised for financing working capital, and for repayment of existing short term borrowings and business liabilities.
Vir S Advani, Vice Chairman & Managing Director of Blue Star said, “The business environment has been quite challenging and we are thankful to the NCD investors for reposing trust and confidence in Blue Star despite uncertain times. The NCD funds will infuse sufficient liquidity into the Company and will also provide resilience and necessary financial strength to our Balance Sheet over the long term. We expect that as the Government permits economic activities to resume, consumer demand will revive in due course. It is, therefore, important for us to remain prepared with adequate funding to execute our growth strategy.”
Blue Star Limited is India’s leading air conditioning and commercial refrigeration company with over seven decades of experience in providing expert cooling solutions. It fulfills the cooling requirements of a large number of corporate, commercial as well as residential customers. It also offers products such as water purifiers, air purifiers and air coolers. It also provides expertise in allied contracting activities such as electrical, plumbing and fire-fighting services.
Blue Star has joint ventures in Qatar, Malaysia and Oman which undertake MEP (mechanical, electrical and plumbing) projects for residential, commercial and infrastructure buildings, and exports a range of products to the Middle East, Africa, SAARC and ASEAN regions.
Blue Star’s other businesses include marketing and maintenance of imported professional electronic equipment and services, as well as industrial products and systems, which is handled by Blue Star Engineering & Electronics, a wholly-owned subsidiary of the company.
HrNxt.com Newsdesk has researchers and writers with an excellent domain knowledge about the talent ecosystem, and the business environment. The team keeps a tab on the latest happenings in the ecosystem to bring most relevant news and insights for our readers. You can connect with our newsdesk at newsdesk@hrnxt.com.