India Business Journal - BPCL lines up Rs 5,000-crore NCD issue to fund expansion across segments

CORPORATE

BPCL lines up Rs 5,000-crore NCD issue to fund expansion across segments

IBJ Bureau
Aug 19, 2026

Bharat Petroleum Corporation (BPCL) has approved a plan to raise up to Rs 5,000 crore through non-convertible debentures (NCDs), according to a regulatory filing.

The board has approved the issue of secured or unsecured redeemable NCDs in one or more series or tranches.

The company can undertake the fundraising through a maximum of 10 tranches over one year.

The issue size, pricing, allotment and other terms will be decided separately at the time of issue of each series or tranche.

The proposed borrowing will provide the State-owned oil company with additional funding flexibility as it continues to invest across its refining, fuel marketing and downstream businesses.

The company is also expanding into infrastructure-linked products through its planned acquisition in the bitumen segment.

In June, BPCL had agreed to acquire a 40 per cent stake in Tiki Tar and Shell India — a joint venture between Tiki Tar and Shell — for Rs 85 crore from Shell Overseas Investments.

The transaction is aimed at strengthening BPCL’s presence in bitumen and road infrastructure materials.

Following completion, BPCL will become an equal joint venture partner in Tiki Tar and Shell India alongside the existing shareholder. The transaction remains subject to customary regulatory approvals and fulfilment of conditions agreed between the parties.

Tiki Tar and Shell India manufactures and markets bitumen-based products, including modified bitumen and emulsions used in road construction and maintenance.