Page 5 - Non Convertible Debentures

Bourses approves transfer of NCDs from HDFC Ltd to Bank as part of merger

HDFC Ltd on Wednesday said both stock exchanges BSE and NSE have approved the transfer of NCDs from the mortgage firm to HDFC Bank as part of the amalgamation process. BSE and NSE vide their letters dated April 26, 2023, granted their in-principle approval for the transfer of additional NCDs (non-convertible debentures) issued by HDFC Limited post receipt of the earlier approval on December 13, 2022, to HDFC Bank, the mortgage firm said in a regulatory filing. The proposed amalgamation is subject to receipt of final approvals from the Securities and Exchange Board of India (Sebi) in respect of change in control of certain subsidiaries of HDFC Limited, it added. This approval will help pave the way for the merger of HDFC into HDFC Bank, expected to be finalised by the third quarter of this financial year. Termed as the biggest transaction in India's corporate history, HDFC Bank on April 4 last year agreed to take over the biggest domestic mortgage lender in a deal valued at about US

IndiGrid raises Rs 1,140 cr via NCDs, to use funds for refinancing

India Grid Trust on Thursday said it has raised Rs 1,140 crore through long-term non-convertible debentures from International Finance Corporation. India Grid Trust (IndiGrid) is the first infrastructure investment trust in the power transmission sector. India Grid Trust has announced that IFC (International Finance Corporation) has subscribed to a listed NCD (non-convertible debenture) issuance of IndiGrid, aggregating to Rs 1,140 crore, according to a statement. With a total tenure of 18 years, the NCDs were priced at a competitive rate that is fixed for a long tenure. The company plans to utilise this debt for funding its upcoming refinancing opportunities in FY24, it added. "This long-term financing from IFC is in alignment with IndiGrid's strategy aimed at ensuring a robust balance sheet," Harsh Shah, Chief Executive Officer of IndiGrid, said in the statement. "Our support will help expand and diversify capital sources for critical power infrastructure, demonstrating the ...

Vedanta board approves plan to raise up to Rs 2,100 crore via NCDs

The committee of directors of mining giant Vedanta Ltd has approved a proposal to raise up to Rs 2,100 crore by issuing non-convertible debentures (NCDs). The proposal was approved on Thursday during a meeting of its Committee of Directors, Vedanta Ltd said in a regulatory filing. "Committee of Directors... on April 13, 2023, considered and approved for raising, on a private placement basis, up to 21,000 numbers secured, unrated, unlisted, redeemable, NCDs of face value Rs 10,00,000/ each aggregating up to Rs 2,100 crore in one or more tranche(s)," it added. It will be issued on a private placement basis, the company said. Vedanta Ltd, a subsidiary of Vedanta, is a diversified global natural resources company.

Sundaram-Clayton trades ex-date for scheme of arrangement; stock slumps 19%

The board at its meeting held on February 9, 2022 has approved the Composite Scheme of Arrangement of the company for issue of bonus NCRPS and demerger of manufacturing undertaking.

HDFC board to consider raising funds by NCDs on Mar 27 worth Rs 57,000 cr

Mortgage lender HDFC Ltd on Friday said its board would consider raising funds through non-convertible debentures (NCDs) in tranches aggregating to Rs 57,000 crore. "A meeting of the Board of Directors of the Corporation is scheduled to be held on Monday, March 27, 2023 to consider issuance of unsecured redeemable nonconvertible debentures, in various tranches, under a Shelf Placement Memorandum, aggregating Rs 57,000 crore on a private placement basis...," HDFC said in a regulatory filing. The approval for this was granted by the shareholders at the 45th Annual General Meeting held on June 30, 2022, it said. It is expected that the parent HDFC Ltd would merge into subsidiary HDFC Bank by the third quarter of the next financial year. Termed as the biggest transaction in India's corporate history, HDFC Bank on April 2022 agreed to take over the biggest domestic mortgage lender in a deal valued at about USD 40 billion, creating a financial services titan. The proposed entity will ha

Future Enterprises defaults on Rs 12.75-crore interest payment on NCDs

Debt-ridden Future Enterprises Ltd (FEL) has defaulted on the payment of interest of Rs 12.75 crore on two non-convertible debentures (NCDs). The due date for payment was February 16, 2023, FEL said in a regulatory filing. "The company is unable to service its obligations in respect of the interest on Non-Convertible Debentures was due on February 16, 2023," it said. The debentures have a coupon rate of 9.60 per cent for both series. The Gross Principal amount on which the default has occurred is Rs 265 crore, which is Rs 106 crore for Series XVI - A and Rs 159 crore for Series XVI - B fund. FEL had recently defaulted on payment of interest on several non-convertible debentures. The debt-ridden Future group has been facing three petitions filed by its operational creditors before the National Company Law Tribunal (NCLT) to initiate insolvency proceedings against the company. Lenders of FEL have also appointed an auditor for conducting a forensic audit of the firm. It is engaged

Investors should avoid NCDs rated below AA despite mouthwatering returns

Diversify across sectors and match your investment horizon with paper's tenor to avoid liquidity issues

IIFL Finance to raise funds via public issue of non-convertible debentures

The issue, which also has a greenshoe option to retain an oversubscription of 9 billion rupees, will open for subscription on Friday and close on Jan. 18

State-run NTPC to raise Rs 500 crore via non-convertible debentures

State-run power giant NTPC will raise Rs 500 crore through the issuance of non-convertible debentures on a private placement on Friday. "NTPC has decided to issue unsecured non-convertible debentures of Rs 500 crore on December 16, 2022, through private placement at a coupon of 7.44 per cent per annum with a door to door maturity of 10 years 3 months 30 days on April 15, 2033," a BSE filing stated. The proceeds will be utilized for, inter alia, funding of capital expenditure, refinancing of existing loans and other general corporate purposes, it stated. The debentures are proposed to be listed on BSE. Debenture Trust Deed will be duly executed as per the requirements of and within the period of time prescribed under the Companies Act and rules specified therein. These debentures are being issued under the recommendation of board resolution dated July 29, 2022 and subsequent approval obtained through shareholders' resolution dated August 30, 2022. This is the first issue of debentu

Motilal Oswal invests Rs 450 cr in Shapoorji Pallonji Real Estate

Takes exposure to two projects--one commercial, the other a residential township

Wabag inks agreement with Asian Development Bank to raise Rs 200 cr

Water technology player VA Tech Wabag on Friday said it has signed an agreement with Asian Development Bank (ADB) to raise Rs 200 crore through unlisted non-convertible debentures (NCDs) carrying a 5-year and 3-month tenor. This NCD will be subscribed by ADB over a 12-month period, Wabag said in a statement. The Rs 200 crore capital raised through this NCD issuance will be used towards working capital requirements of Wabag and will be within the current borrowing limits, which will, therefore, not increase the debt levels of the company, it added. "This is an important milestone for us as we add another feather to our cap with this strategic funding tie-up with ADB. ADB's decision to collaborate with us is a key validation of its focus on clean, green and sustainable technologies. We have been working for many years on projects funded by multilateral agencies, including ADB," Wabag Chief Financial Officer Skandaprasad Seetharaman said. The disposal of wastewater without proper ...

Future Enterprises defaults on Rs 1.07 crore interest payment for NCDs

Debt-ridden Future Enterprises Ltd (FEL) on Thursday said it has defaulted on payment of interest on non-convertible debentures of Rs 1.07 crore. "The company is unable to service its obligations in respect of the interest on Non-Convertible Debentures was due on November 16, 2022," it said in a regulatory filing. The debentures have a coupon rate of 9.28 per cent and FEL has defaulted on interest payments for the period from May 17, 2022, to November 15, 2022. The total amount of securities issued was Rs 23 crore and a default has occurred on this gross principal amount. The debt-ridden Future Group has been facing three petitions filed by its operational creditors before the National Company Law Tribunal (NCLT) to initiate insolvency proceedings against the company. Lenders of FEL have also appointed an auditor for conducting a forensic audit of the firm. FEL had recently defaulted on payment of interest on several Non-Convertible Debentures (NCDs). It is engaged in the busines

Nitin Gadkari wants retail investors to pip institutions in NHAI InvIT

Next InvIT issuance will have higher reservation for retail investors, says MoRTH Secretary Upadhyaya

Indus Towers to raise Rs 2,000 crore via NCDs after weak Q2 result

The fund raise was approved by the company's board of directors following the second quarter FY 2023 result which saw 44 per cent year on year drop in net profit to Rs 872 crore.

Indus Towers to raise Rs 2,000 crore via NCDs after weak Q2 result

The fund raise was approved by the company's board of directors following the second quarter FY 2023 result which saw 44 per cent year on year drop in net profit to Rs 872 crore.

Adani Enterprises to raise Rs 1,000 cr via public issue of debentures

CareEdge has assigned 'A+' to the proposed issuance of debentures. It also reaffirmed ratings for long-term bank ratings 'A+' and short-term facilities 'A1+'

Muthoot Finance to raise Rs 300 cr via secured NCDs, issue size at Rs 75 cr

Proposed NCDs have AA+ rating from ICRA denoting 'high degree of safety'

Muthoot Finance to raise Rs 300 cr via secured NCDs, issue size at Rs 75 cr

Proposed NCDs have AA+ rating from ICRA denoting 'high degree of safety'

Apeejay Surrendra raises Rs 300 cr for logistics, industrial parks biz

The Apeejay Surrendra Group on Thursday said it has raised Rs 300 crore through issuance of debentures for expansion of its logistics and industrial parks business. In a statement, the company said the Rs 300 crore fund has been raised through the Non-Convertible Debentures (NCD) route. The fund will fuel the ongoing expansion drive of Apeejay Surrendra Group's realty division Apeejay Real Estate. BPEA Credit, a leading private alternative investment firm in Asia, has invested in the NCD issued by the Apeejay Surrendra Group. Karan Paul, chairman of Apeejay Surrendra Group, said, "The government projection to reduce costs in the logistics sector by 10% in the next 5 years, unified policy, and a regulatory environment for end-to-end logistics services make the logistics and warehouse more and more promising. Backed by the government policy and with funds coming in, we are now on a rapid expansion drive." Apeejay Real Estate has a diverse portfolio including logistics and industrial

NTPC gets shareholders' nod to raise up to Rs 12,000 cr via bonds

NTPC has got shareholders' approval to raise up to Rs 12,000 crore through issuance of non-convertible debentures on private placement basis. The resolution was passed with requisite majority in the annual general meeting held on Tuesday. The funds to be raised in one or more tranches (not exceeding 12) will be used for capital expenditure, working capital and general corporate purposes, as per the notice for the AGM. As the company is in capacity expansion mode, major portion of the capital expenditure requirement has to be funded by debt. The company's board approved the proposal on July 29, 2022.