National Highways Authority of India Bonds Issue Highlights & Investment details

Download National Highways Authority of India Bonds Application Forms

Issue Highlights & Investment details:

National Highways Authority of India (NHAI)Issue Size Rs 10,000 crores

Nature of Instrument Tax Free Secured Redeemable Non-Convertible Bonds in the nature of Debentures having tax

benefits u/s 10 (15) (iv) (h) of IT Act, 1961 CRISIL AAA/Stable; CARE AAA; Fitch AAA (ind) with Stable Outlook Pari passu charge on the immovable property of NHAI situated at Ahmedabad and exclusive first charge on fixed assets of NHAI (For further details, please refer to Prospectus Tranche – I) Available in demat as well as physical mode Rs 1,000

Allocation

Allotment on first come first serve basis.

Category I investors (Institutional & Corporate Investors) - upto 40%

Category II investors (Individuals & HUF applying > Rs 5 lakhs) - upto 30%

Category III investors (Individuals & HUF applying upto Rs 5 lakhs) - upto 30%

BSE and NSE. The Designated Stock Exchange for the Issue is BSE

SBI Capital Markets Ltd and A.K. Capital Services Ltd.

SBICAP Trustee Company Limited

NSDL and CDSL

MCS Limited

Interest on

Application Moneys

On Allotment – Same as the Coupon Rate On Refunds – 4%

Tax Benefits of the Bonds:

The income by way of interest on these Bonds is fully exempt from Income Tax and shall not form part of Total Income.

No deduction of tax at source (TDS) from the interest, which accrues to the bondholders in these bonds irrespective of the

amount of the interest or the status of the investors.

Wealth Tax is not levied on investment in Bond under section 2(ea) of the Wealth-Tax Act, 1957.

However, no deduction from the total income will be available for invested amount.

Investment Options (Tranche I)

Options Series I Series II

Interest Payment Annual

Minimum Application Rs. 50,000/- (50 Bonds) Rs. 50,000/- (50 Bonds)

Face Value of bonds Rs. 1,000/- Rs. 1,000/-

Coupon (%) p.a. (Post Tax)* 8.20% 8.30%

Interest paid on Every year on October 01, and on respective maturity

Tenor 10 years 15 years

Redemption Amount Repayment of the Face Value + any interest that may have accrued.

Nature of Indebtedness Pari Passu with other secured creditors and priority over unsecured creditors.

                  Cheque/DD’s should be drawn in favour of “Escrow Account NHAI - Tranche-I” and crossed A/C Payee.

How to apply to NHAI Bonds?
You can download the forms below

Download Application Forms

Submit the filled up form to Collection canter near you