Three companies to float bonds worth Rs 11,950 cr this week

Bonds

Three companies plan to issue bonds and raise up to Rs 11,950 crore this week, according to market sources.

The companies are the National Bank for Agriculture and Rural Development (NABARD), Small Industries Development Bank of India (SIDBI), and GMR Airports Ltd.

NABARD intends to raise up to Rs 5,000 crore, including Rs 3,000 crore through bonds maturing in three years and one month.

Similarly, SIDBI will also raise up to Rs 5,000 crore, including Rs 3,000 crore through bonds maturing in five years or on November 24, 2028.

GMR Airports will raise Rs 1,950 crore via bonds maturing in three years or on November 21, 2026.

Bidding for GMR Airports will take place on November 20, between 2:00pm and 3:00pm, on the BSE bidding platform.

On the other hand, SIDBI and NABARD’s bonds bidding will take place on November 22, on the BSE and National Stock Exchange’s bidding platform, respectively.

SIDBI’s bonds have been rated ‘AAA’ by CRISIL and CARE, and NABARD’s bonds were rated ‘AAA’ by ICRA and India Ratings.

As per the issuer manual of GMR Airports, the company has a fixed coupon of 13.275 percent, which includes a 5 percent cash coupon plus an 8.275 percent redemption premium.

The interest payment will be done on March 31, 2024, annually thereafter and on maturity, the issuer manual of GMR Airports said.

These bonds have been rated 'A-' by CARE.