KIIFB lists debut Masala bond on London Stock Exchange

• Kerala Infrastructure Investment Fund Board lists INR 21.5 billon Masala bond on London Stock Exchange’s International Securities Market
• First Masala bond issued by a sub-sovereign entity in India
• London is largest Masala bond centre globally with 49 bonds raising over $7.5 billion equivalent
• Reinforces London’s role as a leading international finance centre, attracting global issuers to its markets

London Stock Exchange welcomes Kerala Infrastructure Investment Fund Board’s (KIIFB) debut Masala bond, the first sub-sovereign entity in India to tap the offshore rupee international bond market. The INR 21.5 billion ($312 million equivalent) senior secured fixed-rate bond has a five-year tenor with a 9.723% coupon. The bond has been admitted to London Stock Exchange’s International Securities Market.

Dr. K.M. Abraham, Chief Executive Officer, Kerala Infrastructure Investment Fund Board:

“This is a milestone transaction for the Kerala Infrastructure Investment Fund Board and for the State of Kerala. KIIFB is the first sub-sovereign entity in India to access the international debt capital markets in this manner. This transaction has realised our objective of diversifying our sources of funding by accessing capital from international investors. KIIFB strives to be at the forefront of creating a sustainable development model for infrastructure financing in the emerging markets and an exemplar for best practices in corporate governance and fund management.”

Darko Hajdukovic, Head of Fixed Income, Funds & Analytics, UK Primary Markets, London Stock Exchange:

“London Stock Exchange warmly congratulates KIIFB on its landmark debut Masala bond. Our markets have enabled issuers to raise over $7.5 billion equivalent, allowing Masala bonds to evolve from a specialist segment to a mainstream asset class. KIIFB’s bond highlights London’s status as a leading international financing centre, offering issuers access to the deepest pool of long-term international investor capital as well as best in class listing solutions.”