Wipro logo
Wipro logo

IT services major Wipro on Thursday said its step-down subsidiary, Wipro IT Services, has raised $750 million from an overseas bond sale.

Last week, Wipro had announced that Wipro IT Services will issue US dollar denominated notes worth $750 million on June 23. A proposal for the same had been approved by the Board of Wipro IT Services on June 10.

"Wipro IT Services LLC (Issuer)... has raised $750 million by the issue and allotment of 1.50 per cent notes (Notes) to qualified institutional buyers...," a regulatory filing said on Thursday.

The notes are guaranteed by Wipro pursuant to an indenture dated June 23, 2021, executed by the company and the issuer with the trustee, paying agent, registrar and transfer agent appointed in relation to the issuance of the notes, it added.

Wipro has undertaken guarantee obligations in relation to the notes under the indenture. Its potential liability under the guarantee is capped at an amount equal to 105 percent of the total aggregate principal amount of the notes outstanding from time to time, being initially $787.5 million (guaranteed amount), the filing noted.

The filing added that the guarantee will be released upon repayment in full of amounts due under the notes and guarantee, subject to the guaranteed amount.

In its previous filings, Wipro had said the date of issue of the Notes is June 23, 2021, and the maturity date is June 23, 2026.

The net proceeds of the notes are intended to be utilised for refinancing existing debt and general corporate purposes.

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Free Press Journal