Shapoorji Pallonji Group's Eqyizen Investment Plans Up to $200 Million Debt Raise
Shapoorji Pallonji Group's investment arm, Eqyizen Investment, plans to raise between $150 million and $200 million through rupee-denominated bonds, adding to its ongoing fundraising activities. The proposed debt issuance will involve zero-coupon bonds maturing in July 2029.
The Mumbai-based company's latest fundraising plan is expected to be completed before the end of November 2026. The final borrowing amount will be determined in rupee terms before the issuance is concluded.
Eqyizen Investment's latest debt issuance
The proposed fundraising follows two significant debt issuances by Eqyizen Investment earlier in 2026.
In October, the company raised approximately ₹44.50 billion (around $473 million) through a similar debt issuance, carrying a yield of 18.95%. This followed another fundraising exercise in July, when approximately ₹213.50 billion was raised at the same yield.
Both transactions involved zero-coupon, US dollar-denominated bonds issued by Mercury Finance, another Shapoorji Pallonji Group entity. The proceeds were subsequently invested in rupee securities of Eqyizen Investment. The bonds from these issuances are also due in July 2029.
Bankers familiar with the latest transaction indicated that the company still has part of its approved borrowing limit available and intends to utilise the remaining capacity to meet its fundraising target.
Bond outlook and Tata Sons stake proposal
The outlook for Shapoorji Pallonji Group's bonds has improved following developments concerning its proposed stake sale in Tata Sons.
Tata Trusts, the controlling shareholder of Tata Sons, disclosed that the SP Group had proposed selling a portion of its holding in Tata Sons valued at ₹250 billion. However, the proposal has yet to progress, with differences between Tata Trusts and Tata Sons remaining unresolved.
The latest fundraising plan adds to the group's series of debt transactions through its investment entities. The proposed issuance will provide another source of rupee-denominated funding, with the final borrowing quantum and completion timeline expected to be established before the end of November.
