HUDCO (Housing and Urban Development Corporation Limited) promotes housing and urban infrastructure projects. It is a government owned Mini-Ratna Company which provides long term finance and support to housing and infrastructure development. HUDCO tax free secured redeemable bonds issues with tax free 8.76% interest.
Issue of HUDCO tax free secured redeemable bonds opens on Spetember 17th, 2013 and the closes on 14th October, 2013. It is tax free secured redeemable NCD in nature and will be listed in Bombay Stock Exchange.
Face Value of Rs. 1000 is for one unit of HUDCO tax free secured redeemable bonds and the minimum required investment is Rs. 5000 which is 5 NCDs. The NCD issues in 3 different series called 1A, 2A & 3A with a slight difference in interest rate and with various time periods.
1A series gives an interest of 8.39% p.a for retail investors and 8.14% for all other investors and the NCD is for 10 years.
In case of 1A Series, 8,76% interest for retail investors and 8.51% for all other investors and the NCD is for 15 years.
The interest of 3A series is 8.74% p.a for retail investors and 8.49% for all other investors and the NCD is for 20 years.
The payment of interest for all series of HUDCO tax free secured redeemable bonds are annually.
Read the prospectus for more details