off-the-wire

India New Issue-PFC to issue multiple-tenor bonds - bankers

Kitco Media
By Reuters
Published:
Updated:
Reuters
MUMBAI, May 4 (Reuters) - India's Power Finance Corp plans to raise at least 10 billion rupees ($122.35 million) through two bonds, one maturing in five years and the other in three years, three merchant bankers said on Thursday.


The state-run company has invited bids for both the bond issues on Monday. Bidding will take place on the Bombay Stock Exchange's electronic bidding platform.


The five-year bond issue has a base size of 6 billion rupees and a greenshoe option to retain an additional subscription of up to 30 billion rupees. The bonds have a put and call option at the end of the second year. The three-year floating rate bond issue has a base size of 4 billion rupees and a greenshoe option of 20 billion rupees. The notes are linked to treasury bills maturing in three months.


The bonds are rated AAA by CRISIL and ICRA and the issue will be settled on Wednesday.


In April, the company raised an aggregate of 44.32 billion rupees via bonds maturing in three years and three months, and 10 years and three months at 7.55% and 7.62%, respectively. ($1 = 81.7300 Indian rupees) (Reporting by Bhakti Tambe and Dharamraj Dhutia; Editing by Sohini Goswami)

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