BIAL Aims to Secure Over $535 Million in Second Bond Tranche by Early October

Written by: Team Angel OneUpdated on: 29 Jul 2025, 6:51 pm IST

BIAL is set to raise over ₹4,630 crore ($535 million) via a second tranche of 15-year bonds by early October to refinance debt and fund its ₹15,500 crore expansion plan.

BIAL Aims to Secure Over $535 Million in Second Bond Tranche by Early October

Bangalore International Airport Ltd (BIAL) plans to raise over ₹4,630 crore (around $535 million) through a second tranche of bonds by early October, according to reports by Reuters. The funds will be used for refinancing existing debt and capital expenditure.

15-Year Bonds, Private Placement

The upcoming issuance will be in the form of 15-year bonds, similar to the earlier tranche. This time, however, the bonds will be privately placed rather than auctioned on an electronic bond platform. Coupon rates are expected to match the earlier issue, at around 8.15% paid monthly.

Earlier Phase Raised ₹4,362 Crore

Earlier in July, BIAL raised ₹4,362 crore through a 15-year bond issue with monthly payouts. That issue was arranged by SBI Capital Markets and saw participation from banks, insurance companies, and infrastructure-focused funds.

Expansion Plan Worth ₹15,500 Crore

According to the ICRA report, BIAL has planned a capital expenditure of ₹15,500 crore over FY26 to FY30. The investment aims to expand the airport’s passenger handling capacity from 51.5 million to around 80-85 million annually.

The company has not yet made any comments on the bond issuance or expansion plans.

Conclusion

The second tranche is part of BIAL’s broader funding plans for long-term infrastructure development and debt servicing. The airport operator continues to use the bond market to support upcoming expansion phases.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Jul 29, 2025, 1:21 PM IST

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