Home / Knowledge / News / Textiles / Euler Hermes backs Reliance petrochem expansion projects
Euler Hermes backs Reliance petrochem expansion projects
May '12
Reliance Industries Limited (“RIL”) has signed a US$ 2 billion equivalent loan with nine banks covered by Euler Hermes Deutschland AG on 07 May 2012 at Berlin, Germany.

The loan will be primarily used to finance goods and services procured from German suppliers as part of RIL's petrochemicals expansion projects at Jamnagar, Hazira, Silvassa and Dahej in India.

This facility is significant on various counts:

• The facility is among the largest underwriting by Euler Hermes in recent years;
• Euler Hermes has for the first time accorded 'Better than Sovereign' rating to a corporate;
• Despite the challenging financial markets, the deal witnessed ~ 50% over subscription;
• The facility has a door-to-door maturity of 13 years;

This deal helps diversify RIL's funding sources and extends the maturity profile of its long term debt in a cost effective manner.

V. Srikanth, Joint Chief Financial Officer of RIL, commented “We are delighted with the support provided by Euler Hermes for this landmark financing. This deal received strong support from international banks, particularly from German lending institutions. The better than sovereign assessment by Euler Hermes is a strong testimony of RIL's credit standing in the international markets."

KfW IPEX-Bank GmbH arranged the Euler Hermes cover and the following nine banks participated in the funding of the facility.

Reliance Industries Limited (RIL) is India's largest private sector company on all major financial parameters with a turnover of INR 339,792 crore (US$ 66.8 billion), cash profit of INR 31,994 crore (US$ 6.3 billion) and net profit of INR 20,040 crore (US$ 3.9 billion) as of March 31, 2012.

Reliance Industries Limited

Must ReadView All

Textiles | On 25th Oct 2016

Pakistan powerloom sector on verge of closure: APCPA

The powerloom sector in Pakistan is undergoing serious crisis and is...

Textiles | On 24th Oct 2016

Indian govt plans roadshows to promote textile exports

The Indian government has planned to conduct roadshows to boost the...

Textiles | On 24th Oct 2016

TPP may hit roadblock

The 12-member Trans-Pacific Partnership (TPP) that was signed earlier ...

Interviews View All

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Kevin Nelson

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search