IRFC: Launch 6,300 cr Tax free Bond, Open on January 27

Indian Railways Finance Corporation (IRFC) will launch its tax-free bond issue, offering up to 8.30% to retail investors.

The bonds will be available in tenures of 10 years and 15 years, where with 8.15% on the 10-year bond and 8.30% on the  15 year bond.

The HNI's (High Net worth Individuals) will be paid 7.90% on the 10-year bond and 8.05% on the 15-year bond.

According to a senior official of IRFC, “We are offering a premium on interest to retail investors since we want more retail participation. This will also help stop malpractices in the application process."

Bids for its Rs. 3,000 crore issue opens on January 27, 2012. The issue will have the green shoe option to retain up to Rs. 6,300 crore.


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