Reliance Group is preparing to raise 180 billion rupees (approximately 2 billion dollars) through asset-backed securities with a maturity of 3 to 5 years, managed by Barclays PLC. The deal will be in the PTC format and is expected to be completed by September 2025. This is considered one of the largest securitization deals in India.
Reliance Group: The Mukesh Ambani-led Reliance Group is set to issue asset-backed securities to raise approximately 180 billion rupees (about 2 billion dollars). This deal will be structured through Pass-Through Certificates (PTCs), backed by loans from the company's infrastructure and telecom divisions. The maturity period is set between 3 to 5 years, and the management responsibility lies with international investment bank Barclays PLC. The transaction is anticipated to be finalized by September 2025 and could set a new benchmark in India's securitization market.
Infrastructure and Telecom Backing
According to information, these securities will be issued through a trust, with loans linked to Reliance's infrastructure and telecom divisions serving as the underlying assets.
This will offer investors an opportunity to invest in robust and reliable securities. Reports suggest that international investment bank Barclays PLC is managing this transaction, and the deal is expected to conclude by September. However, neither Reliance nor Barclays has issued an official statement on this matter yet.
3 to 5-Year Maturity
The maturity for these securities will be set between 3 to 5 years. Investors are likely to receive secure and stable returns during this period.
Experts believe that this initiative by Reliance will prove to be a new milestone in the Indian securitization market.
Significant Step Amidst Global Conditions
This deal is taking place at a time when Reliance is navigating through international circumstances. Tensions persist between India and the United States regarding the purchase of crude oil from Russia.
In such an environment, Reliance's financial strategy will serve as a source of strength. Notably, Reliance already operates one of the world's largest refining facilities and is continuously seeking new investment avenues.
Status of the Securitization Market in India
The securitization market in India is not yet fully developed but is experiencing continuous growth.
An ICRA report from June 2025 indicates that this market could surpass 2.5 trillion rupees by the end of the current fiscal year. Until now, this market has been predominantly dominated by Non-Banking Financial Companies (NBFCs). However, Reliance's entry is expected to bring new dynamism to it.
Company to Raise Funds Through Pass-Through Certificates (PTCs)
Deals of this nature in India are typically conducted through two methods: direct assignment and Pass-Through Certificates (PTCs). Reliance's deal will be in the PTC format. This model offers investors an opportunity to invest with enhanced security and transparency. Experts believe that this deal by Reliance will further boost investor confidence in this segment.
Deal Likely to be Completed by September
It is anticipated that this entire deal will be finalized by mid-September. Reliance has previously explored several innovative methods in domestic and global markets to meet its financial requirements. This time, the company has made another significant move, which will not only be crucial for Reliance but could also set a new standard for India's capital market.
