Multiple people aware of the bond buyback programme told ET that the move helped retire high-cost debt. The three-year securities reportedly offered coupons in the range of 6.95-7.20%. Some of the bond sellers were mutual funds run by the likes of IDFC, Aditya Birla, SBI, DSP and Invesco.

The buybacks follow record debt fundraising by India’s biggest company in the overseas markets about three weeks ago.

Reliance Industries and individual bond investors did not respond to ET’s queries.

“The company has made an open offer to everyone in the market, both directly and via brokers,” one of the persons cited above told ET.

Those shorter duration bonds were sold at different yield levels. At least four sets of papers maturing in March, April, May and September in 2023 were bought back at yields of 4.82%, 4.95%, 5% and 5.10%, respectively.

Reliance is said to have purchased back total bonds worth of up to ₹4,000 crore on Thursday and Friday, sources said. It has also extended offers to other fund houses that would respond to Reliance’s proposals based on commensurate yields.

“We can evaluate any such proposal if the offer is reasonable,” said a fund manager who received such an offer.

The interest rate cycle is turning with market rates increasing. Although the Reserve Bank of India (RBI) has not alluded to an imminent change in its monetary policy stance, central banks across the world are unwinding liquidity, driving yields higher. The US Treasury benchmark surged 27 basis points this calendar year amid speculation of faster-than-anticipated rate rises by the US Federal Reserve.

Back home, the benchmark paper, too, rose 17 basis points to 6.62% amid a drop in surplus cash levels in the banking system.

“RIL bonds enjoy scarcity premium in the market as existing investors will sell only when they are adequately rewarded either by yields or re-issuances,” said Ajay Manglunia, managing director at JM Financial.

“As rates have started going upwards, companies are looking to restructure their existing high-cost debt,” he said.

RIL bonds are triple-A rated liquid securities in an otherwise shallow corporate bond market.

A total of ₹6,110 crore worth of RIL bonds changed hands on Thursday and Friday collectively, show data compiled by JM Financial. A majority of it came from buyback deals, dealers said.