IREDA – Indian Renewable Energy Development Agency Limited – A Govt Of India enterprise – has come up with an issue of Tax Free Bonds in Feb 2014.IREDA to raise Rs.1000Crore through this issue.
Details of IREDA Tax Free Bonds are as follows:
About IREDA : IREDA is a non-banking financial institution set up by GOI,engaged in extended financing to projects generating energy through renewable sources and conserving energy through energy efficiency like – Wind Energy,Hydro Power,Biomass Power Generation,Solar Energy,Energy Conservation and Waste to Energy Projects.
Imp Dates:
- Issue Open Date:Feb 17, 2014
- Issue Close Date:March 10, 2014.
Interest Rate:
|
Series Of Bonds |
|||
|
Options |
For Category I,II and III | ||
| Tr.I Series 1A | Series IIA |
Series IIIA |
|
|
Coupon Rate % |
8.16 | 8.55 | 8.55 |
|
Options |
For Category IV Only | ||
| 8.41 | 8.80 |
8.80 |
|
| Tenor | 10 Yrs | 15 Yrs |
20 Yrs |
Category IV investors – includes investors investing for Rs.10 lakh or less amount and 40% allocation will be reserved for them.
Other Details:
- Credit Rating : AAA By CARE and Brickwork.
- Minimum Application Amount: Rs.5000 or 5 Bonds.
- Benefits of Investing : Interest payable annually as per above mentioned rates and annual interest received free from interest tax.
- Date of annual Interest payment:Date – which is the date following one year from date of allotment.
Rest,Tax Free bonds is good options if anyone is in higher tax bracket and looking for fixed, safe and long term income on regular basis.
