EDC Provides USD 500 M Financing to India's Reliance Industries as Business
With Canadian Companies Grows
NEWS RELEASE TRANSMITTED BY Marketwired
FOR: Export Development Canada
APRIL 1, 2014
EDC Provides USD 500 M Financing to India's Reliance Industries as
Business With Canadian Companies Grows
TORONTO, ONTARIO--(Marketwired - April 1, 2014) - Export Development Canada
(EDC), Canada's leading financier and insurer of Canadian exporting
companies, today announced USD 500 M in financing for Reliance Industries
Limited (RIL), the Indian multi-sector conglomerate.
The transaction is among the largest financing packages that EDC has ever
extended in Asia. RIL is a Fortune Global 500 company and is the largest
private-sector company in India.
"We have been partnering with a wide section of Canadian suppliers for
materials, equipment and services across our hydrocarbon businesses over the
last 4-5 years and we are also engaging with them for our telecom business
rollout," said Srikanth Venkatachari, Reliance's Joint Chief
Financial Officer. "We have more than a decade-long relationship with EDC,
and this landmark deal will provide further impetus to foster trade between RIL
and Canadian companies over the coming years."
EDC provided the financing in response to the increasing business that RIL has
been undertaking with Canadian companies since 2004, when EDC first became one
of their financiers. The new financing package helps diversify RIL's
funding sources and extends the maturity profile of its long- term debt in a
cost effective manner.
"RIL is a global leader in many sectors that match up well with Canadian
industrial expertise, creating a natural partnership that benefits both of our
priority interests," said Rajesh Sharma, EDC's Senior Vice-President
and Group Head, Global Business Development.
"A strong relationship with EDC helps the RIL Group benefit from a global
source of mature and dependable financing in a capital-constrained global
economy," added Mr. Sharma. "In turn, EDC introduces Canadian
companies to RIL that not only meet their specific supply chain needs, but that
can help them grow their global business. Everybody wins in this deal."
Since 2010, RIL has been regularly doing business with approximately 50
Canadian companies. Of these companies, 33% were small- to medium-sized
companies. EDC has been actively engaged with RIL for making introductions to
Industries of note for RIL are oil and gas exploration/production, refining and
petrochemicals that are part of its energy business. The telecom and organized
retail sectors are part of their consumer facing business in India.
India is a strategic market for Canada, as outlined in the Government's
Global Market Action Plan, and is also a market of corporate priority for EDC.
EDC is looking to grow the amount of financing that it offers to Indian
companies for their capital expenditures, whether the financing be for general
corporate purposes or project finance purposes.
Canadian and Indian companies used EDC's financial services to undertake
CAD 1.8 billion of business in 2013 alone.
Canadian and Indian companies can contact EDC in Mumbai and New Delhi.
EDC is Canada's export credit agency, providing financing and insurance
solutions locally and around the world to help Canadian companies of any size
respond to international business opportunities. As a profitable Crown
corporation that operates on commercial principles, EDC works together with
private- and public-sector financial institutions to create greater capacity
for Canadian companies to engage in trade and investment.
For more information about how EDC can help your company, visit www.edc.ca.
FOR FURTHER INFORMATION PLEASE CONTACT:
Export Development Canada
firstname.lastname@example.org (preferred and quickest response)
INDUSTRY: Government - International, Government - Local, Government -
National, Government - Security (law enforcement, homeland etc), Government -
-0- Apr/02/2014 03:59 GMT
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