India bulls' Rs 1k-cr NCD issue set to open on Sept 6
The company on Friday announced the public issue of secured/ and or unsecured, redeemable, non-convertible debentures of the face value of Rs 1,000 each
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Hyderabad: Indiabulls Housing Finance Limited (IBHFL) said on Friday that it has announced the public issue of secured/ and or unsecured, redeemable, non-convertible debentures of the face value of Rs 1,000 each. The Tranche I issue will open on September 06, 2021 and closes on September 20, 2021.
It has a base issue size of Rs 200 crore with a green shoe option up to Rs 800 crore, aggregating up to Rs 1,000 crore (Tranche I issue). This issue offers various options for subscription with coupon rates ranging from 8.05 per cent to 9.75 per cent per annum. There are 10 series of NCDs carrying fixed coupon and having tenures ranging 24 months, 36 months, 60 months and 87 months with annual, monthly and cumulative option, the company said in a statement.
The NCDs are proposed to be listed on BSE and NSE with BSE as the designated stock exchange for the issue. The NCDs have been rated CRISIL AA/Stable by CRISIL Ratings Limited and BWR AA+ / Negative by Brickwork Ratings India Private Limited, the statement added.
According to company, an additional incentive maximum of 0.25 per cent per annum will be offered for category III (HNI) and category IV (retail) investors in the proposed issue, who are also holders of NCD(s)/ bond(s) previously issued by the company, and/ or its subsidiaries as the case may be, and/or are equity shareholder(s) of IBHFL as the case may be on the deemed date of allotment.
The lead managers to the issue are Edelweiss Financial Services Limited, IIFL Securities Limited and Trust Investment Advisors Private Limited, IBHFL said.
At least 75 per cent of the funds raised through this Tranche I issue will be used for the purpose of onward lending, financing, and for repayment of interest and principal of existing borrowings of the company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25 per cent of the amount raised in the Tranche I Issue. The unsecured NCDs are in the nature of subordinated debt and will be eligible for Tier II capital, IBHFL added.
