Since it’s the time for investments in tax saving instruments, many eligible infrastructure finance companies have started floating section 80 CCF tax saving infrastructure bonds. SREI Infrastructure Finance Limited is the latest one to join the foray. The issue opens from December 31st 2011 to January 31st 2012. The company aims to raise Rs 300 Crores from the tranche 1. It is allowed to raise Rs 500 Crores for this financial year. So it may come up with tranche 2 for the remaining amount.
SREI Infrastructure Bonds
Issue Facts:
Face Value: Rs 1000
Minimum Subscription: 1 Bond i.e. Rs 1000
Listing: BSE
Depositories: CDSL, NSDL
Bonds issuance: Physical mode as well as Demat mode
Registrar: Link Intime India Private Limited
Book Running lead managers: ICICI Securities, Karvy Computer Share, RR Investors Capital, SREI Capital
Book Running co-managers: SMC Capitals Limited and Bajaj Capital Limited
Debenture Trustee: AXIS trustee
Credit Rating: ‘CARE AA’ by CARE Ratings
Type of bonds: Unsecured, redeemable and non-convertible.
Open Date: December 31st 2011
Close Date: January 31st 2011
The issue has got 4 series. The below table provides you the details.
| Series | Series – 1 | Series – 2 | Series – 3 | Series – 4 |
| Interest Rate | 8.9% | 8.9% | 9.15% | 9.15% |
| Buy Back Facility? | Yes | Yes | Yes | Yes |
| Buy Back Date | After 5 Years | After 5 Years | After 5 Years | After 5 Years |
| Maturity period | 10 Years | 10 Years | 15 Years | 15 Years |
| Interest Frequency | Annual | Cumulative (At the end of buy back/maturity) | Annual | Cumulative (At the end of buy back/maturity) |
| Redemption Amount (if you stay invested till maturity) | Rs 1000 | Rs 2346.73 | Rs 1000 | Rs 3718.40 |
| Buy Back Amount (after 5 years, if you exercise) | Rs 1000 | Rs 1531.58 | Rs 1000 | Rs 1549.24 |
All options have optional buy back facility, which means you can sell the bonds after 5 years, if you wish to. Maturity period is 10 years.
Last year the company didn’t come up with infrastructure bonds.
Company details in brief: It’s not a Government organization. It’s the first Indian infrastructure NBFC to be listed on London Stock Exchange. Net worth of Rs25530 million as on March 31st, 2011. It has 82 offices in India.
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Sathish Emmadi
Sathish Emmadi is a co-founder & editor at Lastbull.com. He is presently working in IT for one of the world’s top mutual fund companies. Handled multiple projects in BFSI (Banking,Financial Services and Insurance) domain. An Engineering Graduate from NITW.
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{ 2 comments… read them below or add one }
Thanks Satish, quotation looking better for me but what about you, have you invested in the same ?
Hi There,
I have invested in IDFC infra Bonds!