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ICICI launches Rs 2.5-billion bonds

Leading Indian financial services firm ICICI Ltd on Thursday launched a private placement of secured non-convertible debentures to raise at least Rs 2.5 billion, an arranger to the issue said.

The issue offers seven options, all with annual interest payments.

The first is a three-year bond with a coupon of 11.0 per cent, followed by a five-year bond with a put and call option at the end of every year and a coupon of 10.85 per cent.

The third is a five-year bond with a 11.20 per cent coupon rate, while another offers seven-year maturity and a coupon of 11.40 per cent.

The fifth is a 10-year bond with a call option that can be availed of at the end of the third year and every year thereafter. It has a coupon of 11.80 per cent.

The sixth option is a 10-year bond with a coupon of 11.70 per cent while the last one is a 15-year bond with a 12.0 per cent coupon. It has a call option that can be availed of at the end of the third year and every year thereafter.

The issue is rated AAA by Credit Rating Information Services of India Ltd (CRISIL) and rating firm ICRA.

The rating denotes highest instrument safety.

The arrangers to the issue are JM Morgan Stanley Ltd, ICICI Securities and Finance Company Ltd, ICICI Capital Services Ltd, DSP Merrill Lynch Ltd, Kotak Mahindra Capital Company, RR Financial Consultants Ltd, Darashaw and Company Ltd, Bajaj Capital Ltd and Centrum Finance Ltd.

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