Bharat Sanchar Nigam Limited (BSNL) is reportedly planning to tap the local bond market in order to raise up to Rs 85 billion.

According to industry sources, BSNL’s proposed bonds will be sovereign-guaranteed paper with up to 10-year maturities.The telco is planning to issue the bonds by September 2020, depending on market conditions. The proceeds will be used to repay debt and fund expansion.

The bonds will likely come up for auction on the stock exchanges. The operator is also in talks with local rating companies to obtain credit ratings.