State-run Indian Oil Corporation (IOC) has raised 400 million Singapore dollar (US$326 million) loan by issuing of ten-year bonds denominated in Singapore dollar.

The flagship refiner-marketer priced the notes at 4.1 per cent yield, which is much better than 5.625 per cent that the oil company had paid for a US currency loan last year with a similar tenor.

As per the company, the deal made IOC India's first corporate that has successfully priced long-term bonds denominated in Singaporean currency.

IOC Finance Director P K Goyal said the deal hit several milestones. It became the biggest SGD offering by any foreign company in 2012; it became the biggest ever SGD issuance by an Indian company; and it also became the longest tenor note in SGD market by a foreign company.

Speaking about the success of the deal, Goyal said, "The announcement saw orders to the tune of SGD 300 million within half an hour. and by 4.00 pm the book had already touched the SGD 3 billion mark."

The book building for the deal was announced on Thursday this week on the back of a very successful one-day road show in Singapore, which attracted more than fifty prospective investors.

In geographic terms, 75 per cent of total orders emerged from Singapore, while the remaining one-quarter came from rest of Asia.