(PTI)
State-owned Oil and Natural Gas Corp (ONGC) today said it has tied-up over Rs 18,000 crore loan from three banks to part finance its Rs 36,915 crore acquisition of Hindustan Petroleum Corp Ltd (HPCL). In a regulatory filing, ONGC said it had yesterday entered into loan agreements with Punjab National Bank, Bank of India and Axis Bank Ltd for the borrowing Rs 18,060 crore for the acquisition.
ONGC said the loans are of one-year duration. The pact with PNB is for loan of up to Rs 10,600 crore and with Bank of India for another Rs 4,460 crore. With Axis Bank it has secured Rs 3,000 crore credit. The company is likely to sign-up more loan agreements to pay for acquiring government’s 51.11 per cent stake in HPCL for Rs 36,915 crore.