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HUDCO TAX FREE BONDS Tranche III Offer - Feb 2014 (Apply)

Housing & Urban Development Corporation Ltd Logo

Housing & Urban Development Corporation Ltd. (HUDCO) is again coming out with a tax-free bonds offer under Tranche III. The offer details are as under:

HUDCO is offering each bond of Rs. 1000 face value bearing coupon rates ranging from 8.29% to 8.98% based on category and the tenure. The base size of this offer is Rs. 75 crore with an option to retain over subscription up to the residual shelf limit of Rs. 285.81 crore. Minimum application is to be made for 5 bonds and in multiples of 1 bond thereof, thereafter. These bonds are available under demat and physical mode, but trading will take place in demat mode only.

These bonds are rated 'CARE AA+' by CARE and 'IND AA+' by IRRPL indicating highest degree of safety regarding timely servicing of financial obligations and carry very low credit risk. For category I,II and III (Non-Retail) the coupon rates are 8.29% for 10 yrs, 8.73% for 15 yrs and 8.71% for 20 yrs while for Retail category the coupon rates are 8.54% for 10 yrs, 8.98% for 15 yrs and 8.96% for 20 yrs. The issue opens for subscription on 28.02.14 and will close on or before 19.03.14.

This issue is lead managed by Axis Capital Ltd, Edelweiss Financial Services Limited, HDFC Bank Ltd, Karvy Investor Services Ltd and RR Investors Capital Services Pvt Ltd. Karvy Computershare Pvt Ltd is the registrar and SBICAP Trustee Co. Ltd. is Trustee for the bondholders. These bonds will be listed on BSE post allotment.

Conclusion / Investment Strategy

Apply moderately

Reviewer recommends Subscribing to the issue.

Review By Dilip Davda on December 12, 2019

Review Author

DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational and information purposes only and under no circumstances should be used for making investment decisions. Readers must consult a qualified financial advisor prior to making any actual investment decisions, based on information published here. Any reader taking decisions based on any information published here does so entirely at own risk. Investors should bear in mind that any investment in stock markets are subject to unpredictable market related risks. Above information is based on RHP and other documents available as of date coupled with market perception. Author has no plans to invest in this offer.

(SEBI registered Research Analyst-Mumbai).

About Dilip Davda

Dilip Davda, a freelance journalist

Dilip Davda is veteran journalist associated with stock market since 1978. He is contributing to print and electronic media on stock markets/insurance/finance since 1985.

Dilip Davda is a leading reviewer of public issues and NCDs in the primary stock market in India. The knowledge he gained over 3 decades while working in the stock market and a strong relationship with popular lead managers makes his reviews unique. His detail fundamental and financial analysis of companies coming up with IPO helps investors in the primary stock market. Dilip Davda has a special interest in analyzing the SME companies and writing reviews about their public issues. His reviews are regularly published online and in news papers.


The HUDCO NCD Feb 2014 Analysis helps you to understand about the company, offer detail, valuation, capital structure and financial performance. Our SEBI registered NCD Analysts tells you if HUDCO NCD Feb 2014 worth investing. The HUDCO NCD Feb 2014 Note sets the NCD expectations in systematic way which tells you if HUDCO NCD Feb 2014 good to buy (good or bad / yes or no). The NCD Forecast tells you weather to invest in HUDCO NCD Feb 2014 by providing NCD recommendations i.e. subscribe, avoid and neutral.