This entry is part 9 of 9 in the series Tax Free Bond -2015-16

NHAI Tax Free Bond – Issue open 24 Feb 2016  National Highway Authorities of India (NHAI) is coming out with a Tax Free, Secured, Redeemable bond issue face value 1000 each, aggregating  to 3,300 Cr.  Issue Early Closed 26 Feb 2016.


Product Note

NHAI Tax Free Bond Issue Highlight – 

IssuerNational Highway Authority of India
Type of InstrumentSecured, Redeemable, NCD
Issue Open24 FEB 2016
Issue Close01 MAR 2016
Issue Size3300 Cr
Face ValueRs. 1,000
Min. Application Size5 Bonds (Rs.5000) & multiply of 1 Bond thereafter
Max Application Size (for Retail)10 Lacs
Interest Annual
Mode of AllotmentD'mat & Physical Form
ListingBSE & NSE
Interest on Refund Money5% p.a.
Frequency of Interest PaymentAnnually
NRINRI can not apply in the Issue

Note :

  • NRI Can not apply for this Issue
  • Retail Application Size  10 Lakh
  • Allotment First come basis

NHAI Tax Free Bond Issue Structure

Tranche II10 Years15 Years
For Category I,II, III
Coupon Rate %7.29%7.69%
Category IV ( Retails)
Coupon Rate %7.04%7.39%

Cheque Details- Retail Investor  :    NHAI Bonds 2015 Escrow Account 

  Note :   Application will be rejected if banked without uploading in the electronic system of the recognized stock exchange. (Bidding process)

About Issue

About the Issuer -NHAI

National Highway Authority of India, an autonomous body under the Ministry of Road Transport & Highways, Govt of India, established under Section 3 of the NHAI Act, 1988 having perpetual succession and common seal. The object of NHAI as specified in NHAI Act permits it to undertake its existing activities as well as the activities for which the funds are being raised through the Issue. NHAI intends to deploy the Issue proceeds towards part financing of the various projects being implemented by NHAI under the NHDP and other National Highway project approved by the Govt of India. Benefit to Investor

  • The Income by way of Interest on these Bonds is fully exempt from Income Tax as per provision under section 10(15)(iv)(h) of IT act.
  • No TDS
  • Capital Gain Benefit – Capital gain arising on the transfer of listed bonds shall be taxed @ 10% without Indexation or @ 20% with Indexation.


Subscription Data

NHAI Tax Free Bond Subscription Data .

Cat ICat IICat IIICat IVTotal
Issue Size660 Cr660 Cr660 Cr1,320 Cr3,300 Cr
24 FebSubscribe1845 Cr4355.68 Cr1375.85 Cr1523.36 Cr9099.89 Cr
No of times2.806.602.081.152.76


  NHAI Tax Free Bond Allotment Details

NHAI Tax Free Bond Basis of Allotment


Call  for Investment : Rajendra  – 077 1991 7444   Mail ID  :  

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