Edelweiss Financial Services launches fresh bond issue of Rs 200 crore

Edelweiss Financial Services opened a fresh public issue of bonds or Secured Redeemable Non-Convertible Debentures (NCDs) with value of Rs. 100 crores and a green shoe option of Rs. 100 crores, aggregating to a total of Rs. 200 crores. The issue will open on July 8 and close on July 22.

It would be issued at a face value of Rs 1,000 each for an amount up to Rs 100 crores. The bonds are rated A+/watch negative by Crisil. A negative Credit watch means the rating may be lowered.

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The issue has 12 series of bonds carrying fixed coupons and having a tenure of 24 months, 36 months, 60 months, and 120 months with annual, monthly, and cumulative interest options. Effective annual interest yield on these bonds range from 9.50% to 11.00% per annum.

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“At least 75% of the funds raised through this Issue will be used for the purpose of repayment/prepayment of interest and principal of existing borrowings,” the company said. The balance will be used for general corporate purpose.

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