NCD Issue -IFCI Ltd 9.90% -Oct 2014
IFCI Ltd is coming out with its first tranche of Rs.250 Cr. NCD with an option to retain oversubscription of 2000 Cr. The Issue open for subscription from 20 Oct 2014 and issue close on 21 Nov 2014.
IFCI Ltd NCD Issue Highlights
|Type of Instrument||Secured Redeemable, NCD|
|Issue Open||20 Oct 2014|
|Issue Close||21 Nov 2014 (with option of early closure or extension)|
|Issue Size||One or more tranches for an amount aggregating upto 2000 Cr.|
|Face Value||Rs. 1,000|
|Min. Application Size||10 Bonds (Rs.10000) & multiply of 1 NCD thereafter (across all series NCD)|
|Interest||Monthly, Annually & Cumulative|
|Mode of Allotment||D'mat as well as Physical Form|
Specific Term of Issue
|Tenor||5 Years||5 Years||5 years||7 Years||7 Years||10 Years||10 Years|
|Base Coupon -||9.90%||-||9.50%||10.00%||-||10.00%||-|
- The NCDs can applied for allotment in either dmat or physical forms by all categories of investors. However, Series III NCDs would be allotted only in Dmat form.
Cheque Details :
Cheque / DD should be drawn in favour of “Escrow Account IFCI -NCD I Public Issue “ by all applicant
IFCI Limited is promoted and controlled by the Government of India and is registered with the RBI as a Systemically Important Non-Deposit taking NBFC. It has also been notified as a Public Financial Institution under section 4A of the Companies Act, 1956 (Section 2(72) of the Companies Act, 2013) by Ministry of Corporate Affairs. Along with the group entities, IFCI provide financial services which include, besides long term corporate loans, advisory services in the areas of Project Development, Project Appraisal, Strategic Analysis, Corporate Restructuring, Infrastructure Financing and Legal Advisory to certain sectors. The advisory services include bid process management, disinvestment advisory, techno-economic viability study, legal due diligence, financial advisory, valuation financial appraisal, financial due diligence and project feasibility studies in core infrastructure sectors like power generation and transmission, oil and gas, mining etc.
The Company as on the date of this Shelf Prospectus has 6 Subsidiaries mentioned below and 6 step down subsidiaries.
- Stock Holding Corporation of India Limited
- IFCI Venture Capital Funds Limited
- IFCI Infrastructure Development Limited
- IFCI Factors Limited
- MPCON Limited
- IFCI Financial Services Limited
Security for the NCD Non-Convertible Debentures
The NCDs will be secured by a paripassu floating first charge on receivables, present and future of the Company (other than the Lien Receivables), with an asset cover of one of one time of the total outstanding amount of NCDs and interest thereon, from time to time. Company will create appropriate security in favour of the Debenture Trustee for the NCD Holders on the assets adequate to ensure 100% asset cover for NCDs (along with the interest due thereon)
What is the impact of frequent fluctuations in policy interest rates?
The interest applicable to different categories of investors for various series of NCDs as mentioned above is fixed and will not be impacted by fluctuations in policy interest rate.
Call Rajendra 7719917444
ListingISIN Script Code Interest payment date detail – Update after Allotment process complete.
TaxationInterest on NCD received by NCD Holders would be subject to tax at the normal rates of tax in accordance with and subject to the provision of the Income Tax Act and such tax would need to be withheld at the time of credit/payment as per the provisions of Section 193 of the Income Tax Act.
However, no income tax is deductible at source in respect of the following
- In case the payment of interest on debentures to a resident individual or a Hindu Undivided Family (HUF) NCD Holder does not or is not likely to exceed Rs 5000 in the aggregate during the Financial Year and the interest is paid by an account payee cheque.
- On any security issued by a company in a dematerialized form and is listed on recognized stock exchange in India in accordance with the Securities Contract (Regulation) Act, 1956 and the rules made there under (w.e.f. 01.06.2008).