Even as Infrastructure Development Finance Company Limited (IDFC) mobilised Rs 436 crore through tax-saving long-term infrastructure bond issue against a targeted amount of Rs 3,400 crore, L&T Infrastructure Finance has extended the date for closure of its L&T Infra Tax Savings Bond till November 15.The issue with a size of Rs 700 crore had opened on October 15 and was scheduled to be closed on November 2.
Suneet K Maheshwari, chief executive, L&T Infra, said that the Coal India initial public offering (IPO) has just happened and there is not much liquidity in the market.
?We also expect investors would like to put money in our issue out of the Diwali bonus they?ll be getting now. We had interacted with various sections of investors at various parts of the country and we found that they want some more time to invest in the bond.??
Maheswari also said that the company was planning to come up with one more such bond during the next calendar year. ?Of course, the forthcoming bond will be different from the plain vanilla bond, which has been offered now. The new bond issue would again be a tax-saving bond with likely size of between Rs 250-500 crore.??
Maheshwari said that the company has got an encouraging response from our investors. The company is offering a coupon rate of 7.5% on the bond. with a 7-year put option, on completion of five years, the bond offers a coupon rate of 7.75%.