The company proposed to raise Rs 750 crore through the issue with an option to retain over subscription up to the shelf limit of Rs 5,000 crore. The CBDT has authorised company to raise the bonds aggregating to Rs 5,000 crore in fiscal 2013.

In addition to the tranche(s) of public issue, the company may also raise bonds on a private placement basis in one or more tranches during the process of the present issue, not exceeding Rs 1,250 crore, i.e. upto 25% of the allocated limit for raising funds through the bonds during the fiscal 2013, at its discretion.

The issue will close on January 22, 2013. Bids can be made for a minimum of 5 bonds across all the series of bonds and in multiples of one bond thereafter.

CARE and India Ratings and Research Private Limited have assigned a rating of AA+ to the bonds, indicating high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.

Redemption for tranche I series 1 bonds will happen after 10 years from the deemed date of allotment and for series 2 bonds after 15 years from the deemed date of allotment.

Interest will be paid on annual basis. In case of series I, coupon rate for retail and HUF investors is 7.84 percent while for others (QIBs, MF etc) is 7.34 percent. In case of series II, coupon rate is 8.01 percent for retail & HUF investors while 7.51 percent for others.

The bonds are proposed to be listed on the NSE, the designated stock exchange for the issue.