The National Bank for Agriculture and Rural Development or NABARD is set to launch bonds worth up to Rs 7,000 crore, with a maturity period of five years, two months, and 29 days, as per market sources.
With a base issue size of Rs 2,000 crore and an oversubscription option of Rs 5,000 crore through a greenshoe provision, the bonds aim to attract significant investor interest. The greenshoe option empowers underwriters to allocate additional bonds if demand exceeds initial projections.
Bidding for these bonds is scheduled for January 31, conducted between 10:30 am and 11:30 am on the BSE’s electronic bidding platform. The pay-in date for the exchange of bonds and funds between issuers and investors is slated for February 1.
These bonds, boasting “AAA” rating with a “Stable” outlook from India Ratings and CRISIL, offer investors a secure avenue for investment in the financial market.
The minimum application size for these bonds stands at Rs 1 lakh, with multiples available in the same denomination.
In recent days, Summit Digitel Infrastructure Ltd, Piramal Capital & Housing Finance Ltd, and Lendingkart Finance Ltd have successfully raised funds through bond issuances. Summit Digitel Infrastructure secured Rs 650 crore via five-year bonds, while Piramal Capital raised Rs 200 crore through over one-year bonds, showcasing continued investor appetite for fixed-income securities.
