This NCD gives an opportunity to double the principal amount in 6 years and 3 months. The issue is currently open and will close on September17, 2013.
Who can apply: Resident individuals, HUFs, partnership firms, companies and body corporates, banks, public financial institutions, national investment funds, mutual funds, venture capital, insurance companies, commercial banks, co-operative banks, public/private charitable trusts, industrial research organizations and other eligible categories.
Application size: The minimum application size is Rs 10,000 for 10 NCDs as the face value per debenture is Rs 1000. The NCD issue aims to collect Rs 100 crore and has a greenshoe option to retain another Rs 100 crore if the issue oversubscribes. There is no ceiling limit per investor.
Use of proceeds: Funds raised through the issue of NCDs will be utilized for repaying of existing debts and lending to infrastructure sector.
Effective yield and Maturity:
|
Series |
I |
II |
III |
IV |
V |
|
Frequency of Interest Payment |
Annually |
Cumulative |
Monthly |
Annually |
Cumulative |
|
Effective Yield (per
annum) |
10.75% |
N.A. |
10.85% |
10.85% |
N.A. |
|
Effective Yield (per
annum) |
10.90% |
N.A. |
11.01% |
11.00% |
N.A. |
|
Effective Yield (per
annum) |
11.50% |
11.51% |
11.75%^ |
11.75%^ |
11.72% |
|
Maturity Date (from Deemed Date of Allotment) |
3 years |
3 years |
5 years |
5 years |
6 years & |
Who can sell the product: Registered stock brokers with any stock exchange along with their respective sub-brokers, banks and intermediaries selected by the issuing company.
How can an IFA get register to sell the product: An IFA has to sign the sub-broker agreement with a stock broker to be eligible to sell the bonds.
Tentative brokerage structure: Brokerage ranges between 0.75% and 1.75% depending on the category of investors. Highest brokerage will be offered upfront for the distribution of NCDs to individual investors.
Trustee: Axis Trustee Service.
Registrars: Karvy Computershare.
Listing: The NCD will be listed on BSE. However, the individual applicants can also apply for NCDs in physical mode.
Credit Ratings: CARE and BWR have assigned ratings of AA-(Double A Minus) and AA (Double A) respectively. Such instruments carry very low credit risk.
Withdrawal of applications: In the event of withdrawal or rejection of application form or for unsuccessful application forms, the application amount will be credited to the relevant account within 12 working days.
Lead Managers: ICICI Securities Limited, A.K. Capital Services Limited, Trust Investment Advisors Private Limited and Srei Capital Markets.
Lead Broker: A K Stockmart Private Limited, AUM Capital Market Private Limited, Axis Capital Limited, Edelweiss Broking Limited, HDFC Securities Limited, ICICI Securities Limited, IDBI Capital Market Services Limited, India Infoline Limited, Integrated Enterprises (India) Limited, JM Financial Services Private Limited, Just Trade Securities Limited(Formerly known as Bajaj Capital Investor Services Limited), Karvy Stock Broking Limited, Kotak Securities Limited, NJ India Invest Private Limited, Prudent Broking Services Private Limited, RR Equity Brokers Private Limited, SBICAP Securities Limited, SHCIL Services Limited, SPA Securities Limited, Tipsons Stock Brokers Private Limited and Trust Financial Consultancy Services Private Limited
SREI has allocated 60% of NCD for the individual category while NCDs of 20% each will be distributed to institutional investors and non-institutional investors.