REC Raises ₹500 Crore Through Tokenised Bonds

REC Limited has successfully completed India’s first pilot issue of tokenised corporate bonds under the SEBI Regulatory Sandbox Framework. The company raised ₹500 crore, comprising a ₹100 crore base issue and a ₹400 crore green-shoe option. The issue received bids worth ₹796 crore, making it nearly 8 times oversubscribed. The bonds carry a 7.30% annual coupon with a tenor of 1 year and 9 months. The transaction was conducted through the NSE’s Electronic Bidding Platform. Tokenisation enabled same-day pay-in, allotment and listing, with the bonds listed on both NSE and BSE. The initiative uses distributed-ledger technology and is part of the evolving Demat 2.0 framework. Investor Takeaway: The successful issue highlights REC’s participation in the development of technology-driven debt markets in India. The strong subscription indicates significant investor interest, although the financial impact of the pilot itself is relatively limited. Wider adoption of tokenised securities could improve settlement efficiency and reduce operational friction in the debt market.