Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: ACCOUNTING STANDARD :: empanelment :: due date for vat payment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: form 3cd :: cpt :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT Audit :: VAT RATES :: TAX RATES - GOODS TAXABLE @ 4% :: articles on VAT and GST in India
Indirect Tax »
 Income Tax dept to intensify anti-black money operations
 Applicability of TDS provisions of section 194-I of the Income-tax Act, 1961 on lump sum lease premium paid for acquisition of long term lease-regarding
 CBDT seeks monthly data of disposed I-T appeals
 Further indirect tax may be levied in 2017
 India has to make its own tax law
 Centre warns against criticism of GST network
 Indirect tax collection jumps 26% in April-September, direct tax 9%
 Indirect Tax collections up
 Thank you note from income tax department
 Tax dept scanning IDS disclosures filed through post
 Poor management cause of financial pressure on Centre

Public sector companies struggle to raise capital through tax-free bonds
March, 01st 2014

Three-state owned companies have raised only a fraction of their target amount through last tranche of tax-free bonds on the first day of subscription as the market is already crowded with many issuances leading to over-supply ahead of financial year-end.

The Indian Railway Finance Corporation or IRFC has raised only Rs 239 crore or 8.16% of their total issue size at Rs 2,916 crore including a core size at Rs 1,500 crore, according to data available on BSE website.

The Rural Electrification Corporation or REC has mopped up about Rs 154 crore or 14.50% as against Rs 1,060 crore (including a core issue at Rs 250 crore). Both REC and IRFC are AAA-rated.

The issue size is relatively smaller at Rs 286 core for the Housing and Urban Development Corporation or HUDCO with no option for oversubscription. The AA+ rated company has collected about Rs 63 crore or 22% of the total size on the first day.

The interest rates offered are in the range of 8.19-8.98% in three maturity buckets: 10-15-20 year for both retail and institutional customers. IRFC did not offer 20-year maturity while HUDCO being a lower rated paper is offering the highest rate at 8.98% for 15-year.

Earlier, ET reported that four state-owned companies were going to raise around Rs 5,250 crore cumulatively through tax-free bonds. National Housing Bank will be the fourth issuer whose public issue is expected to open next week for Rs 1,000 crore.

Almost two weeks ago, Indian Renewable Energy Development Agency (Ireda), Ennore Ports and India Infrastructure Finance Company (IIFCL) already opened for subscription, and are likely to mop up about Rs 4,300 crore collectively.

Ireda and IIFCL, have so far raised Rs 723 crore as against a total size of Rs1,000 crore and Rs 829 crore compared with a targeted Rs2,823 crore. "The interest rate is at its peak in the 15-year bucket so far. One can have the safety of investment in these instruments," said an investment banker, who did not wish to be identified.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Website Ranking Website Ranking Company Website Positioning Alexa Ranking Website Promotion Website top 10 ranking website top 10 promotion search engine result promotion Strategic Internet Marketing Website Optimization Website Ranking Factors

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions