Kerala Infrastructure Investment Fund Board’s $312 Million Masala Bonds Offering


DLA Piper has acted on the debut issuance by the Kerala Infrastructure Investment Fund Board (KIIFB) of its INR 21.5 billion (USD 312 million) secured, guaranteed, rupee denominated bonds (masala bonds), which were listed on the International Securities Market of the London Stock Exchange and the Singapore Stock Exchange. Indian law firm Cyril Amarchand Mangaldas acted as domestic counsel on the transaction. This is the first offshore capital market issuance from a State level entity from India.

KIIFB was established with the objective of providing investment for critical and large infrastructure projects in Kerala. KIIFB acts as the primary agency of the government of the State of Kerala to facilitate the development of both the physical and social infrastructure in Kerala and to assist the state government and its agencies in the development of infrastructure in Kerala.

The State of Kerala in its role as the guarantor is the first state from India to secure a public international credit rating, while KIIFB is the first state government public sector enterprise from India to establish a medium term note programme for raising offshore bonds. The programme, which was established in September 2018, involved a structure that benefits from statutory protection offered by the Kerala Infrastructure Investment Fund Board Act, 1999 (KIIF Act).

DLA Piper acted with a team led by Joywin Mathew.

In India, Cyril Amarchand Mangaldas advised with a team led by Joseph Jimmy.

Involved fees earner: Joseph Jimmy – Cyril Amarchand Mangaldas; Joywin Mathew – DLA Piper;

Law Firms: Cyril Amarchand Mangaldas; DLA Piper;

Clients: Kerala Infrastructure Investment Fund Board;