Thanks,
Gaurav Agarwal
Head Dealer
DENIP Consultants Pvt Ltd
SUMMARY TERMS AND CONDITIONS | |
Issuer | IDFC Company Limited(“the Issuer”) |
Issue Type | Public Issue |
Offering | Secured, Redeemable, Non-Convertible Bonds of Rs.5,000/- each with an option to retain the full subscription till Rs. 3,400 Crs. |
Issue Open Date | 30 September, 2010 |
Issue Close Date | 18 October, 2010 |
Status | Secured, Redeemable, Non-Convertible Bonds having benefits under section 80 CCF of the Income Tax, 1961 for long term Infrastructure Bonds |
Rating | AAA (ICRA) |
Eligible Investors | Retail Individual and HUF |
Issue Size | Upto Rs. 3,400 Crs. |
Issue Price | Rs. 5,000/- per Bond |
Face Value | Rs. 5,000/- each |
Minimum Size | 1 Bond of Rs. 5,000/-, further in multiples of 1 |
Tenure of Issue | 10 years |
Who Can Apply | Resident Individuals and HUF |
Listing | The Bonds are proposed to be listed |
Issuance | Demat form only |
Options: | I | II | III | IV |
| Buyback / Non Cumulative Option | Buyback / Cumulative Option | Non Buyback / Non Cumulative Option | Non Buyback / Cumulative Option |
Minimum Application / Face Value | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 |
In Multiples of | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 |
Interest Payment | Yearly | NA | Yearly | NA |
Coupon | 7.5% per annum | 7.5% to be compounded annually | 8% | 8% to be compounded annually |
Buy Back Option | After 5 Years (In window of 3 Months) | After 5 Years (In window of 3 Months) | N.A. | N.A. |
Exit | After 5 Years (Company Buy-back / Exit in Secondary Market) | After 5 Years (Company Buy-back / Exit in Secondary Market) | Exit in Secondary Market | Exit in Secondary Market |
Issue Size | Rs 3,400 crores in one or more tranches. There is no minimum issue size |
Rating | “LAAA” (ICRA) indicates stable outlook and is the highest credit quality rating assigned by ICRA |
Security | Fully secured with first pari passu floating charge over secured assets and first fixed pari pasu charge over specified immovable properties of the Company |
Bond Face value & issue price | Rs 5,000 per bond |
Subscription amount Minimum Maximum | Rs 10,000 or 2 bonds. The bonds can be of the same series or two bonds across different series No Limit |
Tax Benefit | Under Section 80CCF of the Income Tax Act the amount, not exceeding Rs. 20,000 per annum, paid or deposited as subscription to long-term infrastructure bonds during the previous year relevant to the assessment year beginning April 01, 2011 shall be deducted in computing the taxable income. This is over and above the Rs 1,00,000 tax benefit available under section 80C, 80CCC & 80CCD read with section 80CCE |
Who can apply | Resident individual or HUF |
Investor should provide | PAN Number and Demat Account No |
Maturity / redemption | 10 years from the deemed date of allotment |
Lock In period | 5 years from the deemed date of allotment |
Buyback | 5 years + 1 day from the deemed date of allotment |
Listing | NSE & BSE |
Loan against Bonds | Bonds cannot be pledged or hypothecated for obtaining loans during the lock in period |
Issue opens | September 30, 2010 |
Issue Closes | October 18, 2010 |
Application forms availability | Application Forms will be available in IDFC office in Mumbai, Chennai, |
Lead managers | Kotak , Citibank, Enam, IDFC Capital |
Brokers | Kotak Securities, Enam Securities, Sharekhan, JM Financial services, ICICI Securities, RR Equity, SMV=c Global, Bajaj Capital, Almondz Securities, HDFC Securities, Karvy, NJ Invest India |
Registrars | Karvy |
Debenture Trustee | IDBI Trusteeship |
Bankers | HDFC, ICICI, Kotak Mahindra, IDBI, Citibank, Axis, IndusInd, Dhanlaxmi |
Series | 1 | 2 | 3 | 4 |
Face Value | Rs 5000 per bond | |||
Minimum number of Bonds per application* | Two Bonds and in multiples of one Bond thereafter. For the purpose of fulfilling the requirement of minimum subscription of two Bonds, an Applicant may choose to apply for two Bonds of the same series or two Bonds across different series. | |||
Terms of Payment | Full amount with the Application Form | |||
Interest payment | Annual | Cumulative | Annual | Cumulative |
Interest Rate | 8.00% p.a. | N.A. | 7.50% p.a. | N.A. |
Maturity Amount per Bond | Rs. 5,000 | Rs. 10,800 | Rs. 5,000 | Rs. 10,310 |
Maturity | 10 years from the Deemed Date of Allotment | |||
Yield on Maturity | 8.0% | 8.0% compounded annually | 7.50% | 7.50% compounded annually |
Buyback Facility | N.A. | N.A. | Yes | Yes |
Yield on Buyback | N.A. | N.A. | 7.50% | 7.50% compounded annually |
Buyback Amount | N.A. | N.A. | Rs. 5,000 per Bond | Rs. 7,180 per Bond |
Buyback Date | N.A. | N.A. | Date falling five years and one day from the Deemed Date of Allotment | Date falling five years and one day from the Deemed Date of Allotment |
Buyback Intimation Period | N.A. | N.A. | The period beginning not before nine months prior to the Buyback Date and ending not later than six months prior to the Buyback Date | The period beginning not before nine months prior to the Buyback Date and ending not later than six months prior to the Buyback Date |