IFCI to raise up to Rs 575 cr via bonds

Public sector infrastructure term lender IFCI today said it will raise up to Rs 575 crore through issuance of bonds on a private placement basis.
"IFCI is opening an issue of secured, redeemable, non- convertible bonds in the nature of debentures of up to Rs 575 crore by way of private placement," it said in a regulatory filing.
The bonds issue will open on April 25 and close on April 29.
The bonds carrying coupon rate of 8.55 per cent semi- annually are of five-and-half-years of tenure.
"Credit enhancement for the NCDs issue has been carried out by way of structured payment mechanism, backed by G-secs (special security issued by government) of Rs 400 crore, with lien by debenture trustee on its cash flows, to ensure the timely payments of interest and principal obligations of the NCDs issue," it added.

IFCI shares today closed 0.40 per cent higher at Rs 24.90 apiece on BSE.