Greenback Buzz

With stock markets across the world bound northward, Indian companies are busy raising cash.

With stockmarkets across the world bound northwards, Indian companies are busy raising cash after nearly 12 months of credit squeeze. Close on the heels of metals giant Sterlite raising $1.5 billion through American Depository Receipts, Tata Steel raised $500 million through global depository receipts (GDRs), the largest by any Indian firm on the London Stock Exchange, surpassing SBI’s $370 million in 1996. A host of Indian firms raising money is a sign that they are confident again in expanding capacity and in new projects. Tata Power, for instance, is in the process of issuing a $250 million GDR that will part fund its plans to add 5,600 MW generation capacity. There seems to be renewed confidence in the primary market as well, with Anil Ambani considering a foray into investment banking and a listing of his insurance business. Happy times are here again?

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