India’s SP Group secures $650 million in first dollar bond issuance

Thursday 16 July 2026 - 09:27

By: Sahili Aya

India’s SP Group secures $650 million in first dollar bond issuance

India’s Shapoorji Pallonji Group has raised $650 million through its first-ever dollar-denominated debt issuance, marking a significant step in the conglomerate’s efforts to access global capital markets, according to sources familiar with the transaction.

The fundraising represents the dollar portion of a broader dual-currency bond operation that had faced delays. The deal was completed on Thursday through Mercury Finance, an affiliate of SP Group, which issued three-year dollar securities offering investors a yield of 14.50%.

The bonds include an option allowing early redemption after one year, according to details previously reported on the transaction.

Major global investors participate in landmark issuance

The debut dollar bond attracted interest from several major international financial institutions. BlackRock, the world’s largest asset manager, participated in the offering, while Deutsche Bank acted as the sole arranger and was also among the key investors.

Other participants included Goldman Sachs Asset Management, AllianceBernstein and U.S.-based hedge fund Centiva Capital, according to sources familiar with the matter.

The investors and companies involved did not immediately comment publicly on the transaction.

Bond strategy extends beyond dollar markets

The dollar issuance forms part of a wider financing plan by SP Group, which is also seeking additional funds through a rupee-denominated bond sale.

Another group company, Eqyizen Investment, is preparing to issue three-year zero-coupon rupee bonds with a yield of 18.95%, according to a term sheet reviewed earlier. The rupee bond offering is secured against SP Group’s stake in Tata Sons, held through its subsidiary Cyrus Investments.

The combined fundraising effort highlights the group’s strategy to diversify its financing sources while leveraging its long-term investments.

A major move for one of India’s historic conglomerates

Based in Mumbai, Shapoorji Pallonji Group is one of India’s oldest business groups, with interests spanning construction, engineering, real estate and other sectors.

The successful dollar bond issue comes at a time when Indian companies are increasingly turning to international debt markets to secure foreign currency funding and attract global investors.

The transaction also underscores continued investor appetite for high-yield corporate debt opportunities linked to major Indian business groups, despite broader concerns over borrowing costs and global market volatility.