Jio Finance delays Rs 3,000 crore bond issuance

Jio Finance, a financial unit of Mukesh Ambani's Reliance Group, has postponed its bond offering of Rs 3,000 crore. The company plans to wait until the next financial year starting April 1. This change is due to high yield demands from investors. Recently, Jio Finance issued its first commercial paper, raising Rs 1,000 crore with a yield of 7.80%. The firm had intended to enter the bond market before the end of this month but decided to hold off. Investors are demanding yields above 7.90%, which Jio Finance finds unacceptable. The company's bonds have received an 'AAA' rating. Jio Finance planned to issue five-year bonds with a proposed coupon rate of 7.75%. However, the company does not urgently need funds at this time, prompting the delay. Market expectations suggest that the Reserve Bank of India may cut interest rates in April, which could lead to lower yields for new bond issuances. The central bank’s decision on monetary policy is expected around April 9.