PFC’s NCD issue was oversubscribed 5.65 times garnering Rs 2,824.48 crore
MUMBAI, Aug 3 (The CONNECT) - The public issue of secured, rated, listed, redeemable non-convertible debentures by Power Finance Corporation Limited listed on the BSE.
The issue was oversubscribed 5.65 times garnering Rs 2,824.48 crore. The NCD has a face value of Rs. 1,000 each. The base issue size is Rs. 500 crores with a green shoe option of up to Rs. 4,500 crore, aggregating up to Rs. 5,000 crore, which is within the shelf limit of Rs. 10,000 crore.
The HNI Category was the most subscribed with 8.99 times, followed by Non-Institutional Category with 3.58 times. Institutional Category was subscribed 2.50 times, whereas, Retail Category was subscribed 2.09 times. Issue opened on Friday, July 21, 2023 and was scheduled to close on Friday, July 28, 2023. The issue was early closed on July 26, 2023 by exercising option of early closure.
Parminder Chopra, Director (Finance) and Additional Charge Chairman and Managing Director said it is truly encouraging to see that more than 80% of retail investors from all corners of India have participated in this Bond issue. This overwhelming participation is a testament to the continued trust investors have placed in PFC's vision and robust fundamentals.
The issue has maturity / tenure options of 3 years, 10 years and 15 years for NCDs with annual coupon payment being offered across series I, II, and III, respectively. Effective yield (per annum) for NCD holders in Category I (Institutional Investors), Category II (Non-Institutional Investors) Category III (HNI Investors) and Category IV (Retail Individual Investors) holders ranges from 7.44% to 7.54%. Interest payments modes are Annual. Amount on maturity for NCD holders in Category I, II, and III is Rs 1000/-The NCDs have been rated by CARE AAA/Stable by CARE Ratings Limited, CRISIL AAA/Stable by CRISIL Limited and ICRA AAA (Stable) by ICRA Limited.
Listed entity Power Finance Corporation a non-deposit taking systemically important Non-Banking Financial Company (NBFC).