INVC,
Delhi,
Rural Electrification Corporation Limited (“REC”), a Navratna Public Sector Enterprise under Ministry of Power, Government of India is launching its 2nd Tranche of Public Issue of Tax Free Secured Redeemable Non-Convertible Bonds aggregating to Rs.100 crore with an option to retain oversubscription upto the Residual Shelf Limit of Rs.2482.6529 crore. The Issue shall open for subscription from 25 February 2013 up till 15 March 2013. The face value of the bonds shall be Rs.1000/- with minimum application size of 5 bonds (Rs.5000/-) and in multiple of one bond thereafter. The Bonds carry a coupon rate of 7.38% p.a. and 7.54% p.a. for a tenor of 10 and 15 years respectively for retail investors, and 6.88% p.a and 7.04% p.a respectively for the same tenors for other investors. The issue has been assigned the highest credit rating of ‘AAA’ by four rating agencies viz CRISIL, CARE, ICRA and IRRPL. The funds mobilized shall be utilized for lending operations of the Company and other associated business operations and to discharge existing debt obligations.
