NaBFID Raises Rs 5,000 Crore via Bonds
By Rediff Money Desk, New Delhi Jul 02, 2024 15:03
National Bank for Financing Infrastructure and Development (NaBFID) successfully raised Rs 5,000 crore through listed bonds, receiving overwhelming response from investors.
![NaBFID Raises Rs 5,000 Crore via Bonds](https://im.rediff.com/money/2020/nov/25indian-rupee.jpg)
Photograph: Francis Mascarenhas/Reuters
New Delhi, Jul 2 (PTI) The National Bank for Financing Infrastructure and Development (NaBFID) on Tuesday said it has raised Rs 5,000 crore by issuance of listed bonds.
The issue received overwhelming response from the investors with bids of Rs 12,287 crore, NaBFID said in a regulatory filing.
The bonds were oversubscribed 6 times, against the base issue of Rs 2,000 crore.
The unsecured non-convertible, 'AAA' rated with stable outlook, debt securities have been issued at an annualized coupon rate of 7.43 per cent for a 10 year-tenure.
This represents a spread of 26 basis points over the corresponding Financial Benchmarks India Pvt Ltd (FBIL) GSec par yield curve, it said, adding, the total number of bids received was 131, indicating wider participation with heterogeneity of bids.
The investors were across provident funds, pension funds, insurance companies, banks etc indicating the trust of investors across segment, it said.
"This issuance is also very significant as NaBFID has been successful in raising long duration bonds successively. The wider participation across investor class shows confidence in Indian infrastructure as an asset class," NaBFID Managing Director, Rajkiran Rai said.
NaBFID was set up in 2021 with the essential objectives of addressing the gaps in long-term non-recourse finance for infrastructure development, strengthening the development of bonds and derivatives markets in India, and sustainably boosting the country's economy.
The issue received overwhelming response from the investors with bids of Rs 12,287 crore, NaBFID said in a regulatory filing.
The bonds were oversubscribed 6 times, against the base issue of Rs 2,000 crore.
The unsecured non-convertible, 'AAA' rated with stable outlook, debt securities have been issued at an annualized coupon rate of 7.43 per cent for a 10 year-tenure.
This represents a spread of 26 basis points over the corresponding Financial Benchmarks India Pvt Ltd (FBIL) GSec par yield curve, it said, adding, the total number of bids received was 131, indicating wider participation with heterogeneity of bids.
The investors were across provident funds, pension funds, insurance companies, banks etc indicating the trust of investors across segment, it said.
"This issuance is also very significant as NaBFID has been successful in raising long duration bonds successively. The wider participation across investor class shows confidence in Indian infrastructure as an asset class," NaBFID Managing Director, Rajkiran Rai said.
NaBFID was set up in 2021 with the essential objectives of addressing the gaps in long-term non-recourse finance for infrastructure development, strengthening the development of bonds and derivatives markets in India, and sustainably boosting the country's economy.
Source: PTI
DISCLAIMER - This article is from a syndicated feed. The original source is responsible for accuracy, views & content ownership. Views expressed may not reflect those of rediff.com India Limited.
You May Like To Read
TODAY'S MOST TRADED COMPANIES
- Company Name
- Price
- Volume
- GTL Infrastructure
- 2.76 (+ 3.76)
- 403643100
- YES Bank Ltd.
- 25.67 (+ 3.59)
- 39175439
- Vodafone Idea L
- 15.89 (+ 0.06)
- 38020100
- Khoobsurat
- 1.56 (+ 4.70)
- 28455818
- NCL Research
- 0.91 (+ 4.60)
- 18225834
MORE NEWS
![PM-Surya Ghar...](https://im.rediff.com/80-80/money/2018/mar/28solar.jpg)
PM-Surya Ghar Scheme: Rs 4,950 Cr Incentive for...
The Indian government has issued guidelines for a Rs 4,950 crore incentive to discoms...
![Tax Policies &...](https://im.rediff.com/80-80/news/2024/mar/28income-inequality2.jpg)
Tax Policies & Income Inequality: Economic Survey
The Economic Survey highlights the crucial role of tax policies in addressing income...
![Real Estate...](https://im.rediff.com/80-80/money/2017/oct/31rera.jpg)
Real Estate Complaints Resolved: RERA Impact on...
India's Real Estate (Regulation & Development) Act, 2016 (RERA) has successfully...