Air India Assets Holdings Ltd. (AIAHL), a special purpose vehicle of public sector air line Air India, is going to issue bonds worth Rs 22,000 crore, in an effort to clear off its deabts, reports Business Standard. The first tranche of Rs 7,000 crore will be released on 16 September.
According to a senior official, all the bonds will be rolled out in a few weeks time with different tenures. The first ones worth Rs 7,000 crore would have a tenure of three years and three months. Bonds worth Rs 15,000 crore with the duration of 10 years will be released soon.
He also informed the banks and mutual funds may take part in the first tranche of bond offering.
Air India currently has a debt of over Rs 58,000 crore, about half of which is expected to be covered through proceeds from the issuance of these AIAHL bonds.