Financial Daily from THE HINDU group of publications
Tuesday, Sep 13, 2005
Financial Daily from THE HINDU group of publications Tuesday, Sep 13, 2005 |
|
|
|
|
|
Corporate
-
Corporate Bonds Indian Oil bonds subscribed 2.5 times Our Bureau
New Delhi , Sept. 12 INDIAN Oil Corporation Ltd (IndianOil) on Monday said that the recent bond issue floated by it for mobilising Rs 1,000 crore has been over-subscribed. In a statement, the company said that the bond has been over-subscribed by over 2.5 times to reach Rs 2,500 crore. However, IndianOil plans to retain only Rs 1,225 crore out of this. The company's book-building issue of secured redeemable non-convertible bonds was open for subscription on private placement basis from September 6 to 9. Rated `LAAA' by ICRA, the issue sought to raise Rs 1,000 crore with a `Green Shoe' option, but garnered commitments of over Rs 2,500 crore from investors. These bonds were launched in two categories — one with a maturity of five years with a `put and call'option at the end of each year with floating interest rate to be reset semi-annually, and the other with a 10-year maturity with a fixed coupon rate, the statement said. The interest rate fixed by the book-building process was 10 basis points over one-year gilt yield for the first option in which the company has retained Rs 725 crore, and 7.40 per cent per annum under the second option wherein Rs 500 crore has been retained by IndianOil on a pro-rata basis.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|
