Fresh Funds: Ashoka Buildcon Issues ₹500 Million in Short-Term Debt

Ashoka Buildcon Limited has successfully raised ₹500 million through the issuance of commercial papers (CPs) as part of its ongoing capital management strategy. The move is aimed at supporting the company’s working capital needs and strengthening its financial flexibility as it continues to execute infrastructure projects across India.

 

Key Highlights:

 

Ashoka Buildcon issued commercial papers worth ₹500 million (₹50 crore) via private placement, with the instruments listed on the BSE Debt segment.

 

The CPs were allotted on February 27, 2025, and carry a maturity of 89 days, with redemption scheduled for May 26, 2025.

 

The papers carry an interest (coupon) rate of 8.20% and are rated ICRA A1+, reflecting strong short-term credit quality.

 

These commercial papers are unsecured and do not carry any special rights or privileges.

 

The issue price was ₹490,306.50 per CP with a face value of ₹500,000 each, and HDFC Bank Limited acted as the issuing and paying agent.

 

The funds raised will be used to meet short-term working capital requirements, ensuring smooth operations and timely project execution.

 

Ashoka Buildcon remains focused on maintaining a robust liquidity position while pursuing new opportunities in the infrastructure sector.

 

Source: MarketScreener, SharesBazaar, BSE Corporate Announcements, Ashoka Buildcon Company Filings