NaBFID raises Rs 5,000 crore via bonds 
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NaBFID raises Rs 5,000 crore via bonds

The National Bank for Financing Infrastructure and Development (NaBFID) on Tuesday said it has raised Rs 5,000 crore by issuance of listed bonds

PTI

New Delhi: The National Bank for Financing Infrastructure and Development (NaBFID) on Tuesday said it has raised Rs 5,000 crore by issuance of listed bonds.

The issue received overwhelming response from the investors with bids of Rs 12,287 crore, NaBFID said in a regulatory filing.

The bonds were oversubscribed 6 times, against the base issue of Rs 2,000 crore.

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The unsecured non-convertible, 'AAA' rated with stable outlook, debt securities have been issued at an annualized coupon rate of 7.43 per cent for a 10 year-tenure.

This represents a spread of 26 basis points over the corresponding Financial Benchmarks India Pvt Ltd (FBIL) GSec par yield curve, it said, adding, the total number of bids received was 131, indicating wider participation with heterogeneity of bids.

The investors were across provident funds, pension funds, insurance companies, banks etc indicating the trust of investors across segment, it said.

"This issuance is also very significant as NaBFID has been successful in raising long duration bonds successively. The wider participation across investor class shows confidence in Indian infrastructure as an asset class," NaBFID Managing Director, Rajkiran Rai said.

NaBFID was set up in 2021 with the essential objectives of addressing the gaps in long-term non-recourse finance for infrastructure development, strengthening the development of bonds and derivatives markets in India, and sustainably boosting the country’s economy.

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