Market sources indicate that the Indian Railway Finance Corporation (IRFC) is set to issue bonds totaling up to Rs 3,000 crore on February 26.
The bonds comprise a base issue of Rs 500 crore, accompanied by a greenshoe option of Rs 2,500 crore, and have a maturity period of 10 years, concluding on February 28, 2034.
The inclusion of a greenshoe option allows the underwriter to sell more bonds than initially planned if there is higher-than-expected demand for the security issue.
Bidding for these bonds is scheduled to occur between 10 am and 11 am on the electronic bidding platform of the National Stock Exchange of India (NSE).
The pay-in date for the bonds is February 28, when the exchange of bonds and funds will transpire between issuers and investors.
The bonds have received a ‘AAA’ rating with a ‘stable’ outlook from CRISIL, ICRA, and CARE ratings.
Sources suggest that the minimum application for the bonds is Rs 1 crore, with subsequent multiples of Rs 1 lakh thereafter.
