Investment23 Jun 2025, 06:31 pm
Larsen & Toubro Lists India's First ESG Bonds worth Rs.500 crore on NSE
AI Summary
Larsen & Toubro (L&T), India’s premier infrastructure and technology conglomerate, has listed India’s first ESG bonds on the National Stock Exchange (NSE). The company has successfully raised ~ 500 crore through Non-Convertible Debentures (NCD) at a coupon rate of 6.35% under the Securities and Exchange Board of India’s (SEBI) newly introduced ESG and sustainability-linked bond framework. The NCDs, having a three-year maturity period, will mature on June 19, 2028, and the interest would be paid on an annual basis. This initiative underlines L&T’s dedication to long-term sustainable development and positions them at the forefront of responsible corporate governance and environmental stewardship.
Key Highlights
- L&T lists India’s first ESG bonds on the NSE, raising 500 crore at an interest rate of 6.35%.
- The bonds have a three-year maturity period and will mature on June 19, 2028.
- The issuance is in partnership with HSBC, who served as the sole lead arranger.
- L&T undertakes ambitious environmental commitments, targeting measurable reductions in freshwater withdrawal intensity and greenhouse gas emissions.
- This successful issuance is a significant milestone in India’s financial markets, illustrating growing investor appetite for ESG-compliant financial instruments.