Piramal Group is in talks with investors like Softbank, GIC and others to raise funds, sources told CNBC-TV18 on Friday, adding that the discussions are at an advanced level.

The total fundraise could value between $500-$750 million, said the above-mentioned sources, who did not want to be named. They added that the fundraising could take place in different tranches.

In a statement to exchanges, Piramal Enterprises denied any proposal to raise funds from marquee investors, "We write to inform that no such proposal as referred to in the captioned news article has been placed for approval of the Board or any of its Committees."

Softbank, as well as Piramal Group, did not respond to CNBC-TV18's queries when approached.

Recently, market participants raised concerns about the liquidity situation of Piramal Enterprises. The primary source of the concerns was Piramal Enterprises' sale of a 10 percent stake in Shriram Transport Finance via block trades on June 17 to raise Rs 2,300 crore.

Sources earlier told CNBC-TV18 that Piramal Enterprises has commercial papers (CP) worth Rs 4,000 crore due for redemption in the next two months. The company is taking steps to provide for it, and, for the last six months, the company's strategy to deal with the situation involved an overhaul of the asset-liability management by boosting the long-term fund component, they added.

According to the sources, the company is exploring a tie-up with another global partner to diversify its risk to any account.

Piramal’s finance arm has cash and bank lines worth Rs 5000 crore as on May 31, 2019. The company is in talks to raise term loan of Rs 5,000 crore from state-run banks, reported CNBC-TV18.

Sources suggested that, out of the $375 million external commercial borrowings, $275 million will come in 60 days. The company is also looking to raise $500 million long-term fund in 4 months.

First Published:Jun 21, 2019 2:59 PM IST