PUNE: Dewan Housing Finance Corporation Ltd (DHFL) announced its new forthcoming public issue of secured redeemable Non-Convertible Debentures (NCDs), which opens from May 22 to June 4. The company plans to issue the NCDs amounting to Rs 500 crore, including a greenshoe option of up to Rs 250 crore, on a private placement basis.
Options are available for 3, 5, 7, 10 years tenure with interest rate of up to 9.10 per cent per annum. It also comes with an additional one-time incentive of up to 1.00 per cent amount payable on maturity for specific investors investing in the series of NCDs. Moreover, a set of senior citizen investors would be eligible for an additional interest of 0.10 per cent on the initial subscription amount of NCDs.
The minimum application amount is Rs 10,000 collectively across all options on NCDs and in multiples of one NCD after the minimum application.
Bharat Pareek, Head of Treasury, DHFL, said, “The company has introduced a floater rate NCD, which is benchmarked to overnight MIBOR. Investors in MIBOR linked NCDs will receive interest based on overnight MIBOR rate published by FBIL compounded daily and payable annually.”