L&T Finance Limited has come out with Public Issue of Secured Redeemable Non- Convertible Debentures (NCDs) of face value of Rs.1,000 each aggregating to Rs.250 Crs with an option to retain over-subscription upto an additional Rs.250 Crs, aggregating to a total of Rs.500 Crs. The offer period is between 09th February 2010 to 22nd February 2010. The Debenture has been given
Credit Rating - AA+ by CARE and ICRA.
Details of the Isuue:
Face Value per NCD Rs. 1,000.
Minimum Application Size 10 NCDs for Retail category.
101 NCDs for QIB and NII categories.
There are 2 options:
I - Interest payment Semi-annual with a coupon rate of 8.40 % p.a.
II - Interest payment Annual with a coupon rate of 8.50% p.a.
Redemption Date / Maturity Period 36 months from the date of allotment.
The NCDs are to be listed in NSE and BSE.
Considering current bank Fixed Deposit rates of around 7%, this debenture is a better option to park some funds in it.
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8.5% is a good rate of interest.
ReplyDeletetata motors, mahindra finance, shriram transport are giving better interest rate in FD
ReplyDeleteshriram transport are giving better interest rate in FD but not have knowledege about mahindra finance.
ReplyDeleteSo the interest rate is down, 8.5 is much better.
ReplyDelete