Sensex

Saturday, January 19, 2013

Fw: IRFC Tax Free Bonds: Opening on 21 Jan 2013

 


Sharekhan Mailer
Issue Period: 21 Jan 2013 to 29 Jan 2013

Key Benefits:
  • Indian Railway Finance Corporation Ltd is fully owned by the government of India
  • Credit Ratings: AAA/Stable by CRISIL, AAA by ICRA and CARE
  • Interest on these Bonds is Tax-Free, no TDS is applicable, Wealth Tax is not levied
  • No lock in period and no upper limit on investment amount
  • Issue Size: Rs 1,000 Crores with an option to retain oversubscription upto Rs 8,886.40 Crores
  • Additional Coupon Rate of 0.50% p.a. for Category IV Applicants
  • Eligible NRIs can invest in Category III or IV
Issue Structure: Issue of Tax Free Secured Redeemable Non Convertible Bonds

Options / Series of BondsSeries 1Series 2
Tenor 10 years 15 years
Coupon Rate % p.a. (Category I, II and III) 7.18 7.34
Additional Coupon Rate % p.a. (Category IV) 0.50 0.50
Total Coupon Rate % p.a. (Category IV) 7.68 7.84
Frequency of Interest payment Will be paid on 15 Oct every year
Face Value / Issue Price per Bond Rs 1,000
Minimum Application Rs 5,000 (in multiples of Rs 1,000 thereafter)
Issuance Physical and Demat mode
Interest on application % p.a. As per coupon rate applicable to investor category
Interest on refund % p.a. 5.0
Proposed to be listed on Proposed to be listed on BSE and NSE

Basis of Allotment : On first come first serve basis

Investor Category I - Institutional II - Non Institutional III - HNI (more than 10 lacs) IV - Retail (upto and including 10 lacs)
Issue allocation 20% 20% 20% 40%
  • When Bonds held by the original allottees of Category IV are sold / transferred, coupon rate will be revised to the coupon rate for Category I, II & III investors. Refer to details.


* For the purpose of information only, invest only after referring to the final prospectus.
Disclaimer: Registered Office: Sharekhan Limited, 10th Floor, Beta Building, Lodha iThink Techno Campus, Off. JVLR, Opp. Kanjurmarg Railway Station, Kanjurmarg (East), Mumbai - 400 042, Maharashtra. Tel: 022 - 61150000. Sharekhan Ltd.: SEBI Regn. Nos. BSE Cash-INB011073351; F&O-INF011073351; NSE - INB/INF231073330; DP: NSDL-IN-DP-NSDL-233-2003; CDSL-IN-DP-CDSL-271-2004; Mutual Fund: ARN 20669; For any complaints email at igc@sharekhan.com; Disclaimer: Client should read the Risk Disclosure Document issued by SEBI, relevant exchanges and the T & C on www.sharekhan.com before investing.Sharekhan Disclaimer: Sharekhan Limited is engaged as a distributor of IPO/Bonds/NCD. Sharekhan or any of its group concerns do not in any manner recommends any product or any of its characteristics. The client is advised to take his / her own independent decisions for investing in any financial product after understanding their respective nature and risk and returns involved. The client may also approach his / her own consultants for investing in financial products or in relation to the tax related aspects. We do not solicit any action based upon this promotional material. Please note that the product does not take into account any particular investment objectives, financial decisions or needs of individual recipients. Neither Sharekhan nor any person connected with Sharekhan accepts any liability arising out of investment suggested in the material above.


No comments: