NCD’s Private Placement Procedure
Features of HNI NCDs
Higher rate of interest
- – Fully secured debt instrument backed by company assets.
- – Higher rate means higher post-tax returns to debenture holder.
Details of HNI NCDs
- – The product has two schemes: (a) Fixed income (b) Cumulative income.
- – Maximum of 3 joint applicants in debenture application.
- – Minimum debenture amount is Rs. 50 Lakhs and maximum is Rs. 1.00 Crore.
- – Deposit term – 15 months, 24 months and 36 months.
- – Rate of interest is mentioned in the following table:
| INTEREST RATES SCHEME 1 : CUMULATIVE NCD | SCHEME 2 : FIXED INCOME NCD | |||||
|---|---|---|---|---|---|---|
| Term (Months) | Interest rate p.a. | Yield | Interest Rate p.a. | Interest Rate Frequency | Maturity Amount for Rs.50,00,000 | |
| Monthly | Quarterly | |||||
| 15 | 9.00% | 9.41% | 9.00% | 9.00% | 9.00% | 55,88,388 |
| 24 | 9.25% | 10.03% | 9.25% | 9.25% | 9.25% | 60,03,432 |
| 36 | 9.50% | 10.84% | 9.50% | 9.50% | 9.50% | 66,26,695 |
| 48 | 9.75% | 11.75% | 9.75% | 9.75% | 9.75% | 73,50,443 |
| 60 | 10.25% | 13.17% | 10.25% | 10.25% | 10.25% | 82,93,579 |
| Terms & Conditions governing Acceptance of Secured,Redeemble,Non-Convertible Debentures of Rs.1000/- each | ||||||
-
- – Interest payout – monthly or quarterly
- – Categories of investors permissible – individuals, partnership firms, Companies,
Trusts, Associations and HUFs. - – Debenture amount can be paid by way of cheque or NEFT fvg Sakthi Finance Ltd.
Cash is not accepted. - – Applicant/s to submit application form duly filled in along with photo and
- – self-attested copies of ID and address proof. Copy of self-attested PAN card
- applicants will also have to be submitted.
- – On maturity, amount will be refunded by way
of Cheque or NEFT direct into
bank account upon submission of duly discharged debenture certificate
- – TDS as per IT rules
- – NCD cannot be pre-closed but can be transferred to others.
- – Transferable to third party with company’s support – processing charges apply.
Private Placements
This NCD issue is being made strictly on a private placement basis. It is not and should
not be deemed to constitute an offer to the public in general. It cannot be accepted by
any person other than to whom it has been specifically addressed.