National Highways Authority of India (NHAI) will launch its up to Rs 100 billion retail tax free bond issue by the last week of November, a company source with direct knowledge of the deal told Reuters.

The company has picked SBI Capital Markets and AK Capital as merchant bankers for the issue, the source said

India has allowed four firms to raise 300 billion rupees via tax-free bonds in the current financial year that began April 1.

National Highways Authority of India (NHAI) and Indian Railway Finance Corp (IRFC) can each raise 100 billion, while Housing and Urban Development Corp. (HUDCO) and Power Finance Corp can each raise 50 billion rupees, the Central Board of Direct Taxes said in a notification posted on its website.