Topic
debt
Global borrowing costs hit fresh highs on inflation fears
Long-term borrowing costs across major economies hit fresh highs as inflation fears, rising oil prices, government debt levels and AI investment weigh on bond markets. US 30-year yields reached 5.33% and UK borrowing costs hit 5.85%.
Logistics Seacon Shipping refinances chemical tanker quartet in $103.4m sale-and-leaseback switch
Seacon Shipping is refinancing four 18,500 dwt chemical tankers in a $103.4m sale-and-leaseback switch that cuts financing margins by 50 to 65 basis points, according to Splash247. The Qingdao-based, Hong Kong-listed owner is moving three vessels to Guangzhou Yuexiu Financial Leasing and one to Tianjin Maxwealth Changyang No.4 Leasing, replacing AVIC-backed leases from 2024. The deal is expected to close by the end of August.
Finance Prisma Global issues Rs 200 crore bonds in first Indian AI company debt offering
Prisma Global, a Mumbai-based AI solutions company, has issued Rs 200 crore of bonds — the first debt offering by an Indian AI company. The Rs 50-crore base tranche, carrying a 10% coupon for two years, was fully subscribed within the first hour and nearly eight times oversubscribed by 3pm, triggering the Rs 150-crore greenshoe option.
Finance Aston Martin Secures £550m Loan Package to Bolster Balance Sheet Amid US Tariffs and Weak China Demand
Aston Martin has secured £550m in loans managed by HPS Investment, including a £450m senior secured-term loan and a £100m delayed draw facility, to strengthen its balance sheet and fund future product plans. The move comes after the company cut 600 jobs and reported a net loss of £493.2m for the last fiscal year, attributing the poor performance to US tariffs and weak demand in China. CFO Doug Lafferty said the financing 'significantly strengthens our liquidity.'
Finance Monetisation of Assets Enables NHAI to Prepay Over Rs 1.5 Lakh Crore Debt Since March 2022
National Highways Authority of India (NHAI) has reduced its debt from an all-time high of Rs 3.5 lakh crore in 2021-22 to just under Rs 2 lakh crore, achieved through accelerated asset monetisation. Since March 2022, NHAI prepaid loans of over Rs 1.2 lakh crore and repaid another Rs 31,300 crore, while record monetisation of Rs 41,079 crore in FY24 and continued InvIT/TOT models support the strategy.
Business Debt's the Way for Indian IT Acquisition Funding: Persistent Systems Leads $1.5B Bridge Financing
Persistent Systems' $1.5-billion bridge financing from Barclays for its proposed acquisition of German IT firm Nagarro signals a broader trend of Indian IT companies increasingly using debt for transformative acquisitions, departing from their traditional cash-rich, debt-free balance sheets. Industry experts warn of risks but note the strategic necessity to build AI capabilities and gain scale.
Finance Shapoorji Refinancing Delays Spur Some Bondholders to Seek Exit on Debt
Some bondholders of Shapoorji Pallonji Group are attempting to sell non-convertible debentures of subsidiary Goswami Infratech at about 90% of par amid prolonged refinancing talks. The group has ₹8,343 crore ($884 million) in zero-coupon bonds maturing June 30, which have already been extended once and are now seeking another extension. The development highlights rising stress in India's private credit market, with the yield on the notes climbing to 21.75%.
Business UK May borrowing surges to £23.3bn, sparking warning over fragile public finances
The UK government borrowed £23.3bn in May, nearly a third more than a year ago and well above the OBR's forecast. Debt interest payments soared to a record £11.7bn. Economists caution that fragile public finances will constrain fiscal policy, amid a looming Labour leadership challenge.
Finance SpaceX Turns to Bond Market After Record IPO, Seeks Funds for AI and Starship
Elon Musk's SpaceX has issued its first bond following a record-breaking IPO that raised about $75 billion. The company holds over $100 billion in cash but posted a nearly $5 billion net loss from heavy spending on AI and Starship. Moody's and Fitch assigned investment-grade ratings. Shares fell sharply after the IPO.
Business UK Borrowing Surges to £23.3bn in May, Overshooting Forecasts by £5.6bn
UK government borrowing surged to £23.3bn in May, nearly a third higher than the same month last year and £5.6bn above the Office for Budget Responsibility's March forecast, according to the Office for National Statistics. Interest payable on government debt hit a record £11.7bn for May, driven by the Iran conflict and energy price surge, while Capital Economics warned of a fragile fiscal backdrop for the next prime minister following Andy Burnham's by-election win.
Business Thames Water Nears Collapse as Government Rejects Lenders' Rescue Plan
Thames Water faces financial collapse after the UK government rejected a rescue plan from its main lenders, London & Valley Water, citing insufficient consumer and environmental protections. The utility, serving 16 million people, is now at risk of entering a special administration regime (SAR). Its debt has spiralled beyond £20bn since privatisation, worsened by Macquarie's ownership. Customers will see no service disruption regardless of outcome.
Business Thames Water Moves Closer to Nationalisation After Government Objects to Rescue Deal
The UK government has formally objected to a proposed rescue deal for Thames Water, moving the struggling utility closer to nationalisation. Environment Secretary Emma Reynolds raised concerns over the lenders' package, which the government says fails to protect consumers and the environment. Without an alternative, Thames Water could face a special administration regime within months.
Finance India's FPI Debt Inflows Surge to $95.5 Billion Since FY99
India's foreign portfolio investment (FPI) debt inflows have reached $95.5 billion since FY99, accounting for 62% of cumulative equity inflows. This trend highlights the growing importance of India's debt market in attracting foreign capital.