The issue of SREI Infrastructure Finance secured redeemable non-convertible debentures is currently open for subscription and closes on July 20, 2015.
Who can apply: Resident Indian 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 can invest in this NCD.
Application size: The minimum application size is Rs. 10,000 for 10 NCDs as the face value per debenture is Rs 1,000. The company plans to collect Rs.200 crore with an option to retain an additional Rs.1,000 crore if the issue oversubscribes.
Credit Ratings: CARE and BWR have assigned AA-(Double A Minus) and AA (Double A) rating respectively.
Tentative Brokerage Structure: The brokerage ranges between 1.25% (39 months) and 1.75% (60 months) per application on investment of less than Rs.10 lakh (retail category). For applications of over Rs.10 lakh (HNIs), the brokerage would be in the range of 1-1.25%. Similarly, the brokerage structure for institutional applications ranges between 0.25% and 0.50%. The brokerage structure may vary across distribution channel based on achievement of volumes. Also, a few lead managers are offering an early bird incentive in individual category (retail and HNIs) which ranges between Rs. 50 and Rs. 500 per application. In addition, an incentive of Rs.100 will be paid in online applications.
Effective yield and Maturity:
|
Effective annual yield/tenure |
39 months |
60 months |
|
|
For HNIs and institutional investors |
10.57% |
10.79% |
|
|
For retail category |
10.82% |
11.04% |
|
|
Post tax returns for individuals falling under 10.30% tax bracket |
9.70% |
9.90% |
|
|
Post tax returns for individuals falling under 20.60% tax bracket |
8.59% |
8.77% |
|
|
Post tax returns for individuals falling under 30.90% tax bracket |
7.48% |
7.63% |
|
|
|
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 registered to sell the product: An IFA has to sign the sub-broker agreement with a stock broker to be eligible to sell the bonds.
Lead Managers: ICICI Securities Limited, A. K. Capital Services Limited, Edelweiss Financial Services Limited, SPA Capital Advisors Limited, SREI Capital Markets Limited and Axis Trustee Services Limited.
Co-Lead Managers: Bajaj Capital Limited, Integrated Enterprises (India) Limited, Karvy Investor Services Limited, RR Investors Capital Services Private Limited and SMC Capitals Limited.
Trustee: Axis Trustee Services
Registrars: Karvy Computershare
Listing: BSE
