Tata Capital raises $400 million through three-year offshore bond issuance

Yotta Data Services, a company specializing in artificial intelligence infrastructure and data centers, announced the raising of approximately $150 million from non-institutional investors. The company's valuation was set at approximately 37,000 crore rupees.

Goals of Capital Raising

The raised capital is intended to strengthen the company's financial position through growth and to support the next stage of expansion. The company emphasized that all attracted funds will be directed towards accelerating growth, and there was no Offer for Sale (OFS) from shareholders in this round.

AI Infrastructure Development Plans

Yotta continues to assess interest from long-term institutional investors while maintaining its course toward its pre- and post-IPO plan, although the timeline for this has not been disclosed. Previously, there were reports that the company was raising funds through global funds or via listing.

The company stated that its current valuation is based on fundamental business metrics, revenue from long-term contracts, and execution visibility. Yotta expects this valuation to increase as its AI infrastructure capacity grows and new client agreements are signed.

Operational Plans and Vision

Operationally, Yotta plans to increase its AI cloud platform to over 40,000 Nvidia Blackwell GPUs within the next four months, and to approximately 85,000 GPUs by the end of the current fiscal year. This will enable it to become one of the largest AI computing platforms outside the US and China.

The company continues to support sovereign cloud and AI initiatives in India while scaling up services for global AI model developers and inference providers. Yotta's long-term goal is to help India become a producer of AI infrastructure and intelligence, rather than just a consumer.

Ujjivan Small Finance Bank has announced a change in interest rates for FCNR(B) deposits ranging from three to five years. The new rate is 7.50%, which is higher than the previously offered 7.13%. This increase occurred after the Reserve Bank of India (RBI) lifted the interest rate cap for new FCNR(B) deposits of a similar term.

Bank Strategy and Objectives

The bank stated that this change underscores its commitment to providing competitive and client-centric banking solutions for the Non-Resident Indian (NRI) community. Furthermore, it supports India's efforts to strengthen its foreign exchange reserves and external sector.

Ujjivan SFB added that with this improved offering, the bank intends to enhance NRI participation, attract long-term foreign currency deposits, and contribute to the country's broader goals of sustainable economic growth and external sector stability.

Comments and Market Comparisons

Hitendra Jha, Head of Retail Liabilities, TASC and TPP at Ujjivan Small Finance Bank, noted that raising the interest rate on USD FCNR(B) deposits for a term of three to five years to 7.50% per annum makes it one of the most competitive offerings in the market.

Among major lenders such as State Bank of India, HDFC Bank, ICICI Bank, and Axis Bank, the current rates for FCNR(B) deposits with a term of three to five years reach 6 percent. Previously, Bank of Baroda (BoB) also increased rates on these deposits by 50 basis points, reaching a peak rate of 6.25 percent for five-year deposits.

However, some mid-sized and small private banks offer higher rates compared to their larger counterparts. For instance, Yes Bank offers up to 6.6 percent on five-year FCNR(B) deposits, while AU Small Finance Bank offers a peak rate of 7.1 percent. CSB Bank offers 6.95 percent for such deposits.