Bank of Baroda underwrites USD 500 million foreign currency loan for ONGC Videsh arm at GIFT City
Bank of Baroda has underwritten a USD 500 million five-year foreign currency term loan facility for OVL Overseas IFSC Limited, a wholly owned subsidiary of ONGC Videsh Limited, marking a significant cross-border financing transaction through GIFT City.
Gandhinagar, December 18: Bank of Baroda has underwritten a USD 500 million five-year foreign currency term loan facility for OVL Overseas IFSC Limited, a wholly owned subsidiary of ONGC Videsh Limited, marking a significant cross-border financing transaction through GIFT City.
The bank acted as the sole mandated lead arranger for the facility, with the drawdown ceremony held at the Bank of Baroda IFSC Banking Unit in GIFT City. Senior officials from Bank of Baroda and ONGC Videsh Limited were present at the event.
Lalit Tyagi, executive director at Bank of Baroda, said the successful underwriting of the facility demonstrates the bank’s growing capabilities in syndicated foreign currency lending and highlights the increasing maturity of GIFT City as an international financial hub. He said the transaction also underscores the ability of Indian banks to support the global operations of public sector enterprises through competitive cross-border financing.
Anupam Agarwal, director (finance) at ONGC Videsh Limited, said the company views GIFT City as a key enabler of its global growth strategy. He said the establishment of OVL Overseas IFSC Limited as a centralised treasury platform will help consolidate and scale the company’s international operations, while facilitating access to global capital markets.
Bank of Baroda’s IFSC Banking Unit is among its largest overseas branches and plays a key role in the bank’s international operations, with a diversified portfolio spanning syndicated credit, retail banking and trade finance. The bank said it will continue to leverage its IFSC presence to strengthen its role in the evolving GIFT City ecosystem.
ONGC Videsh Limited is the overseas investment arm of ONGC, with oil and gas assets across multiple geographies. The transaction is expected to support its international expansion and capital requirements through a cost-efficient offshore financing structure.
Bank of Baroda, majority-owned by the Government of India, operates across 15 countries and serves over 180 million customers through physical and digital channels. The bank said the latest transaction reinforces its focus on supporting India’s global energy and infrastructure ambitions through structured international finance solutions
