{"id":10976,"date":"2019-04-16T10:31:38","date_gmt":"2019-04-16T05:01:38","guid":{"rendered":"https:\/\/www.apnaplan.com\/?p=10976"},"modified":"2019-05-21T12:04:44","modified_gmt":"2019-05-21T06:34:44","slug":"srei-infrastructure-finance-limited-ncd-apr19","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/srei-infrastructure-finance-limited-ncd-apr19\/","title":{"rendered":"10.75% SREI Infrastructure Finance Limited NCD \u2013 Apr&#8217;19 \u2013 Should you Invest?"},"content":{"rendered":"\n<p><\/p>\n<p>Incorporated in 1985, Kolkata-based SIFL is a listed company and is in the business of financing infrastructure projects and equipment. It has come out with public issue of non-convertible debentures (NCD) offering up to 10.75% interest rate.<\/p>\n<p> <\/p>\n<h2 class=\"wp-block-heading\">SREI Infrastructure Finance NCD \u2013 Significant Points:<\/h2>\n<p> <\/p>\n<ul>\n<li><strong>Offer Period:<\/strong> April 9 to May 9, 2019<\/li>\n<li><strong>Annual Interest Rates<\/strong> for Retail Investors: 9.75% to 10.75% depending on tenure<\/li>\n<li><strong>Additional interest of 0.25%<\/strong> for Senior citizens, existing investors and existing employees of the SREI group on the 3 &amp; 5 Year non-cumulative NCDs (Option III, IV, VI &amp; VII)<\/li>\n<li><strong>Price of each bond:<\/strong>\u00a0Rs 1,000<\/li>\n<li><strong>Minimum Investment<\/strong>: 10 Bonds (Rs 10,000)<\/li>\n<li><strong>Max Investment Limit<\/strong>\u00a0for Retail Investor: Rs 10 Lakhs<\/li>\n<li><strong>Credit Rating:\u00a0<\/strong>\u2018\u201cBWR AA+ (Outlook:Stable)\u201d by Brickworks<\/li>\n<li><strong>NCD Size:<\/strong> Rs. 100 Crores with an option to Retain Over-subscription Up to Rs 500 crore<\/li>\n<li><strong>Allotment<\/strong>: First Come First Serve<\/li>\n<li><strong>Listing:<\/strong> Bonds would be listed on BSE and will entail capital gains tax on exit through secondary market<\/li>\n<\/ul>\n<p> <\/p>\n<blockquote class=\"wp-block-quote\">\n<p><strong>Also Read<\/strong><em>\u00a0\u2013\u00a0<\/em><em><a href=\"http:\/\/www.apnaplan.com\/know-ncd-investment-tips-tds-and-taxation\/\">Know NCD \u2013 Investment Tips, TDS and Taxation<\/a><\/em><\/p>\n<\/blockquote>\n<p> <\/p>\n<h2 class=\"wp-block-heading\">SREI Infrastructure Finance NCD &#8211; Investment Options:<\/h2>\n<p> <\/p>\n<p>There are 8 options of investment in SREI Infrastructure Finance NCD.<\/p>\n<figure id=\"attachment_10991\" aria-describedby=\"caption-attachment-10991\" style=\"width: 757px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-large wp-image-10991\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-NCD-Investment-Options-April-2019-1024x409.png\" alt=\"SREI Infrastructure Finance NCD - Investment Options - April 2019\" width=\"757\" height=\"302\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-NCD-Investment-Options-April-2019-1024x409.png 1024w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-NCD-Investment-Options-April-2019-300x120.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-NCD-Investment-Options-April-2019-768x307.png 768w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-NCD-Investment-Options-April-2019.png 1266w\" sizes=\"(max-width: 757px) 100vw, 757px\" \/><figcaption id=\"caption-attachment-10991\" class=\"wp-caption-text\"><strong>SREI Infrastructure Finance NCD &#8211; Investment Options &#8211; April 2019<\/strong><\/figcaption><\/figure>\n<p><strong>  <\/p>\n<p>This issue is open to all Indian residents, HUFs and Institutions.<\/p>\n<p> <\/p>\n<ol>\n<li>Category I \u2013 Institutional Investors \u2013 15% of the issue is reserved<\/li>\n<li>Category II \u2013 Non-Institutional Investors, Corporates \u2013 15% of the issue is reserved<\/li>\n<li>Category III \u2013 Retail Individual Investors \u2013 70% of the issue is reserved<\/li>\n<\/ol>\n<p> <\/p>\n<p>However NRIs cannot apply for this NCD.<\/p>\n<p> <\/p>\n<blockquote class=\"wp-block-quote\">\n<p><strong>Also Read:<\/strong>\u00a0<a href=\"http:\/\/www.apnaplan.com\/tax-free-incomes-investments\/\">25 Tax Free Incomes &amp; Investments in India<\/a><\/p>\n<\/blockquote>\n<p> <\/p>\n<h2 class=\"wp-block-heading\">Why you should invest?<\/h2>\n<p> <\/p>\n<ol>\n<li>AA+ Credit rating means very less likely hood of credit default<\/li>\n<li>The NCD is secured, which means the above debt is backed by assets of the company<\/li>\n<li>high revenues and profit growth in the past three years<\/li>\n<li>The <a href=\"http:\/\/www.apnaplan.com\/highest-interest-rate-on-bank-fixed-deposits-fd\/\">interest rates are 2% higher than your regular Bank FDs<\/a><\/li>\n<li>No TDS if invested in Demat Form<\/li>\n<\/ol>\n<p> <\/p>\n<h2 class=\"wp-block-heading\">Why you should not invest?<\/h2>\n<p> <\/p>\n<ol>\n<li>High degree of Debt as compared to tangible assets, which means in rare event of liquidation company may not be able to service all debts.<\/li>\n<li>There are NCDs available in secondary market which have higher yields with similar rating. The problem is low liquidity and hence is difficult to buy in large numbers.<\/li>\n<li>The present <a href=\"http:\/\/www.apnaplan.com\/category\/fixed-income\/bonds\/tax-free-bond\/\">Tax Free Bonds<\/a> are offering yields up to 6.5% in secondary market, which is better investment for People in highest tax bracket.<\/li>\n<\/ol>\n<p> <\/p>\n<h2 class=\"wp-block-heading\">How to Apply?<\/h2>\n<p> <\/p>\n<p>You can apply online by ASBA facility provided by banks. It\u2019s the easiest way to apply and also avoids a lot of hassle in terms of KYC and paper work.<\/p>\n<p> <\/p>\n<blockquote class=\"wp-block-quote\">\n<p><strong>Learn:\u00a0<\/strong><a href=\"http:\/\/www.apnaplan.com\/ipo-asba\/\">How to apply for NCD issues using ASBA?<\/a><\/p>\n<\/blockquote>\n<p> <\/p>\n<p>In case you don&#8217;t want to do it online, you can download the application form from company site or Financial Institutions and submit to collection centers.<\/p>\n<figure id=\"attachment_10978\" aria-describedby=\"caption-attachment-10978\" style=\"width: 995px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-10978\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png\" alt=\"SREI Infrastructure Finance Ltd NCD \u2013 April 2019\" width=\"995\" height=\"539\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png 995w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019-300x163.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019-768x416.png 768w\" sizes=\"(max-width: 995px) 100vw, 995px\" \/><figcaption id=\"caption-attachment-10978\" class=\"wp-caption-text\"><strong>SREI Infrastructure Finance Ltd NCD \u2013 April 2019<\/strong><\/figcaption><\/figure>\n<p><strong>  <\/p>\n<ol>\n<li>My recommendation is to<strong> invest some part of your Fixed Income investment in this NCD Issue<\/strong><\/li>\n<li>You should always <strong>have diversified portfolio<\/strong> be it fixed deposit, NCD or equity investment<\/li>\n<li>Its good idea to <strong>remain invested till maturity<\/strong> because liquidity on exchanges are low and hence you would get lower than market value<\/li>\n<\/ol>\n<p>  <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Incorporated in 1985, Kolkata-based SIFL is a listed company and is in the business of financing infrastructure projects and equipment. It has come out with public issue of non-convertible debentures (NCD) offering up to 10.75% interest rate. <\/p>\n","protected":false},"author":1,"featured_media":10978,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[31,30,194],"tags":[3809,3834,2778,2779],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png",995,539,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019-300x163.png",300,163,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019-768x416.png",768,416,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png",995,539,false],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png",995,539,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png",995,539,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2019\/04\/SREI-Infrastructure-Finance-Ltd-NCD-\u2013-April-2019.png",120,65,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":0,"uagb_excerpt":"Incorporated in 1985, Kolkata-based SIFL is a listed company and is in the business of financing infrastructure projects and equipment. It has come out with public issue of non-convertible debentures (NCD) offering up to 10.75% interest rate.","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/10976"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=10976"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/10976\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/10978"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=10976"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=10976"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=10976"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}