National Highways Infra Trust NCD Oct 2022

National Highways Infra Trust NCD Oct 2022 Details

Issue Open	Oct 17, 2022 - Nov 7, 2022
Issuer	National Highways Infra Trust
Instrument	Secured Rated, Listed, Redeemable, Non-Convertible Debentures
Issue Size	Base Issue size of ₹ 750 Crore with an option to retain oversubscription up to ₹ 750 Crore aggregating up to ₹ 1,500 crore.
Issue Price	Face Value of INR 1,000/- per NCD consisting of 1 (one) STRPP A with face value of Rs. 300/-, 1 (one) STRPP B with face value of Rs. 300/- and 1 (one) STRPP C with face value of Rs. 400/-.
Face Value	₹ 1,000/- per NCD. Each NCD shall comprise of 3 STRPPs having different ISINs and face value: (a)1 STRPP A of face value of ₹ 300; (b)1 STRPP B of face value of ₹ 300; (c)1 STRPP C of face value of ₹ 400.
Minimum Application size	₹ 10,000/- (10 NCDs comprising of 10 STRPP A, 10 STRPP B, 10 STRPP C)
Listing At	BSE, NSE
Credit Rating	“AAA; Stable” by CARE Ltd and “AAA/Stable” by India Ratings & Research Pvt Ltd
Tenor	STRPP A of an NCD – 13 years, STRPP B of an NCD – 18 years, STRPP C of an NCD – 25 years
Payment Frequency	Semi-annual basis from the Deemed Date of Allotment
Issuance and Trading	Compulsorily in dematerialised form.
Basis of Allotment	First Come First Serve Basis
Put/Call Option	There is no put/call option for the NCDs

ISSUE STRUCTURE

ISSUE STRUCTURE
Option/Series	STRPP A	STRPP B	STRPP C
Face Value / Issue Price of NCDs (₹ / NCDs)	1 STRPP A of Face value of ₹ 300	1 STRPP B of Face value of ₹ 300	1 STRPP C of Face value of ₹ 400
Minimum Applications	₹10,000 (10 NCDs comprising of 10 STRPP A, 10 STRPP B, 10 STRPP C)
STRPP with different ISIN#	STRPP A	STRPP B	STRPP C
Tenor	13 Years	18 Years	25 Years
Coupon Rate (% p.a.) for All Categories	7.90% p.a. payable semi-annually	7.90% p.a. payable semi-annually	7.90% p.a. payable semi-annually
Effective Yield (% p.a.) for All Categories	8.05%	8.05%	8.05%
Redemption Date/ Redemption Schedule	Staggered Redemption by Face Value for each respective STRPP as per “Principal Redemption Schedule and Redemption Amounts”
Amount (₹ / NCD) on Redemption Day/ Maturity	6 annual payments of ₹50 each, starting from 8th Anniversary* until Maturity	6 annual payments of ₹50 each starting from 13th Anniversary* until Maturity	8 annual payments of ₹50 each starting from 18th Anniversary* until Maturity
*Of Deemed Date of Allotment
# Upon Allotment, an Investor will be Allotted all 3 STRPPs of an NCD against the equivalent amount invested by such Investor subject to minimum Application size.
With respect to each STRPP, coupon will be paid on Semi-Annual basis every 6 months from the Deemed Date of Allotment on the outstanding face value of the relevant STRPP. The coupon accrued on every Redemption Date will be paid along with the Redemption Amount as per the Redemption Schedule for each respective STRPP. The last coupon payment under such STRPP will be made at the time of Maturity (final redemption date) of the said STRPP

ALLOCATION RATIO

Category	Institutional	Non Institutional	High Net worth Individual	Retail Individual Investor
Category Allocation	25% of the overall Issue Size	25% of the overall Issue Size	25% of the overall Issue Size	25% of the overall Issue Size
Bucket Size assuming Issue size of ₹1,500 Cr	₹ 375 Cr	₹ 375 Cr	₹ 375 Cr	₹ 375 Cr

Principal Redemption Schedule and Redemption Amounts (for each NCD, comprising 1 STRPP A, 1 STRPP B and 1 STRPP C):

Tenor	STRPP A	STRPP B	STRPP C	Total	Balance O/s
Tenor	13 Years	18 Years	25 Years	Total
Face Value	₹ 300	₹ 300	₹ 400	₹ 1,000
1st Anniversary*					₹ 1,000
2nd Anniversary*					₹ 1,000
3rd Anniversary*					₹ 1,000
4th Anniversary*					₹ 1,000
5th Anniversary*					₹ 1,000
6th Anniversary*					₹ 1,000
7th Anniversary*					₹ 1,000
8th Anniversary*^	₹ 50			₹ 50	₹ 950
9th Anniversary*^	₹ 50			₹ 50	₹ 900
10th Anniversary*^	₹ 50			₹ 50	₹ 850
11th Anniversary*^	₹ 50			₹ 50	₹ 800
12th Anniversary*^	₹ 50			₹ 50	₹ 750
13th Anniversary*^	₹ 50	₹ 50		₹ 100	₹ 650
14th Anniversary*^		₹ 50		₹ 50	₹ 600
15th Anniversary*^		₹ 50		₹ 50	₹ 550
16th Anniversary*^		₹ 50		₹ 50	₹ 500
17th Anniversary*^		₹ 50		₹ 50	₹ 450
18th Anniversary*^		₹ 50	₹ 50	₹ 100	₹ 350
19th Anniversary*^			₹ 50	₹ 50	₹ 300
20th Anniversary*^			₹ 50	₹ 50	₹ 250
21st Anniversary*^			₹ 50	₹ 50	₹ 200
22nd Anniversary*^			₹ 50	₹ 50	₹ 150
23rd Anniversary*^			₹ 50	₹ 50	₹ 100
24th Anniversary*^			₹ 50	₹ 50	₹ 50
25th Anniversary*^			₹ 50	₹ 50	NIL

*Of Deemed Date of Allotment
^Staggered Redemption by Face Value for each respective STRPP

Who can apply

Category I	Category II	Category III	Category IV
• Public financial institutions, scheduled commercial banks, Indian multilateral and bilateral development financial institutions which are authorised to invest in the NCDs;	• Companies within the meaning of Section 2(20) of the Companies Act, 2013;	• High net-worth individual investors - Resident Indian individuals or Hindu Undivided Families through the Karta applying for an amount aggregating to above INR 10,00,000 across all options of NCDs in the Issue.	• Retail individual investors, resident Indian individuals or Hindu Undivided Families through the Karta applying for an amount aggregating up to and including Rs 10,00,000 across all options of NCDs in the Issue and shall include Retail Individual Investors, who have submitted bid for an amount not more than UPI Application Limit (being Rs 500,000 for public issue of debt securities) in any of the bidding options in the Issue (including HUFs applying through their Karta and does not include NRIs) though UPI Mechanism.
• Provident funds and pension funds with a minimum corpus of Rs 250 million, superannuation funds and gratuity funds, which are authorised to invest in the NCDs;	• Statutory bodies/ corporations and societies registered under the applicable laws in India and authorised to invest in the NCDs;
• Alternative Investment Funds, subject to investment conditions applicable to them under the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012;	• Co-operative banks and regional rural banks;
• Resident Venture Capital Funds registered with SEBI;	• Trusts including public/private charitable/religious trusts which are authorised to invest in the NCDs;
• Insurance Companies registered with IRDAI;	• Scientific and/or industrial research organisations, which are authorised to invest in the NCDs;
• State industrial development corporations;	• Partnership firms in the name of the partners;
• Insurance funds set up and managed by the army, navy, or air force of the Union of India;	• Limited liability partnerships formed and registered under the provisions of the Limited Liability Partnership Act, 2008 (No. 6 of 2009);
• Insurance funds set up and managed by the Department of Posts, the Union of India;	• Association of Persons; and
• Systemically Important Non-Banking Financial Company registered with the RBI and having a net-worth of more than Rs 5,000 million as per the last audited financial statements;	• Any other incorporated and/ or unincorporated body of persons.
• National Investment Fund set up by resolution no. F. No. 2/3/2005 –DDII dated November 23, 2005 of the Government of India published in the Gazette of India; and
• Mutual Funds registered with SEBI.

APPLICATIONS CANNOT BE MADE BY

1. Minors without a guardian name* (A guardian may apply on behalf of a minor. However, Applications by minors must be made through Application Forms that contain the names of both the minor Applicant and the guardian);

2. Foreign nationals, NRI inter-alia including any NRIs who are (i) based in the USA, and/or, (ii) domiciled in the USA, and/or, (iii) residents/citizens of the USA, and/or, (iv) subject to any taxation laws of the USA;

3. Persons resident outside India and other foreign entities;

4. Foreign Institutional Investors;

5. Foreign Portfolio Investors;Qualified Foreign Investors;

6. Overseas Corporate Bodies**;

7. Foreign Venture Capital Funds; and

8. Persons ineligible to contract under applicable statutory/ regulatory requirements.

*Applicant shall ensure that guardian is competent to contract under Indian Contract Act, 1872

**The concept of Overseas Corporate Bodies (meaning any company, partnership firm, society and other corporate body or overseas trust irrevocably owned/held directly or indirectly to the extent of at least 60% by NRIs), which was in existence until 2003, was withdrawn by the Foreign Exchange Management (Withdrawal of General Permission to Overseas Corporate Bodies) Regulations, 2003. Accordingly, OCBs are not permitted to invest in the Issue.