The bonds would have a flexible maturity period of three years and five years
Non-banking financial company Religare Finvest plans to raise up to Rs800 crore from retail investors through issue of bonds early next month.
"We will raise Rs800 crore through issue of retail bonds. This includes an option to retain another Rs400 crore over subscription," Religare Finvest chief executive Kavi Arora told PTI. The funds raised through this issue, after meeting the expenditure, will be used for company's various financing activities including lending and investments, he said. Arora said the bonds would have a flexible maturity period of three years and five years.
"We have filed for a retail bond issue with the Bombay Stock Exchange last week. We are hopeful of launching the issue in two weeks," he added. Religare Finvest had an asset base of Rs9,900 crore at the end of June with majority of it coming from secured loan, comprising mortgage lending, and commercial vehicles and construction equipment loan. Arora said Religare Finvest would now focus on extending loans to small and medium enterprises (SMEs) in the form of working capital.
"SME sector presents a significant opportunity for growth. With the economic expansion the sector's output will also increase," he added. Religare Finvest, a wholly-owned subsidiary of Religare Enterprises, is registered with the RBI as an NBFC and has presence in 48 cities through 39 branches. It currently provides consumer finance, IPO financing and personal financial services.
Reliance Mutual Fund new issue closes on 25th August
Reliance Mutual Fund has launched Reliance Fixed Horizon Fund-XX-Series 4, a close-ended income scheme.
The investment objective of the scheme is to seek to generate regular returns and growth of capital by investing in a diversified portfolio of central and state government securities and other fixed income/debt securities maturing on or before the date of maturity of the scheme with the objective of limiting interest rate volatility. The tenure of the scheme is 184 days.
The new issue closes on 25th August. The minimum investment amount is Rs5,000.
Crisil Short Term Bond Fund Index is the benchmark index. Amit Tripathi is the fund manager.
ICICI Prudential Mutual Fund new issue closes on 2nd September
ICICI Prudential Mutual Fund has launched ICICI Prudential Multiple Yield Fund-Plan D, a close-ended income scheme.
The investment objective of the scheme is to generate returns by investing in a portfolio of fixed income securities/debt instruments. The secondary objective of the scheme is to generate long term capital appreciation by investing a portion of the Scheme's assets in equity and equity related instruments. The tenure of the scheme is 1,100 days.
The new issue closes on 2nd September. The minimum investment amount is Rs5,000.
CRISIL MIP Blended Index is the benchmark index. Chaitanya Pande and Mrinal Singh are the fund managers.