https://indianmasterminds.com

ADVERTISEMENT
ADVERTISEMENT

REC Limited Raises Rs 5,000 Crore Through Oversubscribed Zero Coupon Bonds

These ZCBs are issued at a significant discount and redeemed at face value, providing tax benefits to investors due to the CBDT notification.
Indian Masterminds Stories

REC Limited has successfully raised ₹5,000 crore through its CBDT-notified Zero Coupon Bonds (ZCBs), achieving an effective yield of 6.25 percent per annum. The issuance garnered strong demand, being oversubscribed by seven times its original size.

These ZCBs are issued at a significant discount and redeemed at face value, providing tax benefits to investors due to the CBDT notification. Upon maturity, the redemption is classified as long-term capital gains, attracting a lower tax rate of 12.5 percent per annum.

All four major credit rating agencies—CARE, CRISIL, ICAR, and IRRPL—assigned a top rating of AAA to this bond issuance. Notably, the last issuance by REC occurred in the financial year 2010-11.

With a net pay-in of ₹2,712.50 crore, the bonds are scheduled for settlement on September 3, 2024, and will be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). This successful issuance underscores REC Limited’s strong position in the capital market and its commitment to providing investment opportunities with favorable returns.


Indian Masterminds Stories
ADVERTISEMENT
ADVERTISEMENT
Related Stories
ADVERTISEMENT
ADVERTISEMENT
NEWS
K Rammohan Naidu aviation safety review
Civil Aviation Minister K Rammohan Naidu Holds Safety Review with Airlines, Focus on Passenger Services
Jatinderjit_Singh_Mann_
PESB Recommends Top NTPC Executive Jatinderjit Singh Mann as Director (Marketing) of MMTC Limited
B Ashok IAS
CAT Stays Kerala Govt Order Appointing IAS Officer B Ashok as KTDFC Chairman; He Will Remain in Agriculture Department
EIL_and_NTPC_sign_
EIL and NTPC Sign MoA for Quality Assurance, Inspection & Engineering Services
Madhya Pradesh Logo IM
Madhya Pradesh IAS Reshuffle: 14 Officers Transferred, New Collectors in 5 Districts, Abhishek Singh Appointed Home Dept Secretary
GST refo
“No Power Can Stop India”: Union Minister Piyush Goyal Calls to Pass Full GST Rate Cut Benefits to Consumers to Boost Growth
CBI
ACC Approves Promotion of IPS Officers Manoj Shashidhar and Sampat Meena as Special Directors in CBI
Sagarmala Development Company Limited
S Thirumalai Selvam Appointed Director (Projects) at Sagarmala Finance Corporation Limited - Profile, Career, & Role Explained
ADVERTISEMENT
ADVERTISEMENT
Videos
IPS Shikha Goel
How Modern Forensics Helps Police Solve Crimes – IPS Officer Shikha Goel Explains | Video Interview
IPS Shikha Goel
Decoding Digital Dangers: Insights from IPS Shikha Goel on Cyber Crimes
IPS Mukesh Kumar Bhamoo
Managing Elections, Communal Tensions, and Public Safety – Meet IPS Mukesh Kumar Bhamoo | Video Interview
ADVERTISEMENT
UPSC Stories
Ishwarlal Gurjar UPSC
10th Grade Failure to Indian Police Service: Ishwarlal Gurjar’s UPSC Success Path
Read the inspiring journey of Ishwarlal Gurjar from a small village in Rajasthan to becoming an IPS officer....
IAS Minnu P M
“Lazy, Sleepy, Yet Determined”: Minnu P M’s Honest Take on Cracking UPSC
Minnu PM, once a clerk in Kerala Police, cleared UPSC with AIR 150 after five years of struggle. Her...
IPS Ashish Tiwari
From IIT and Investment Banking to Public Service, Meet IPS Ashish Tiwari 
Ashish Tiwari, IIT graduate and former investment banker, chose public service over global finance. As...
Social Media
IAS Medha Roopam
IAS Medha Roopam’s Inspiring Dedication in Flood-Hit Noida Goes Viral: Focuses on Relief, Education Amid Heavy Rains
Books in One Hand, Umbrella in Other: Noida DM Medha Roopam Leads Flood Relief from the Front
IAS Sakshi Sawhney Amritsar DC
Punjab Floods: IAS Sakshi Sawhney’s Emotional Appeal to Elderly Man Wins Hearts, Video of Humanity Goes Viral
Viral Video Captures Emotional Moment as Amritsar DC Shows Sensitivity and Courage Amid Relief Effor...
Masahiro Hara
From Go Board to Global Use, How QR Codes Changed the World: IRAS Officer Ananth Rupanagudi Spotlights Masahiro Hara’s Vision
IRAS officer Ananth Rupanagudi shared a video on Masahiro Hara, the inventor of QR codes, highlighting...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
K Rammohan Naidu aviation safety review
Civil Aviation Minister K Rammohan Naidu Holds Safety Review with Airlines, Focus on Passenger Services
Jatinderjit_Singh_Mann_
PESB Recommends Top NTPC Executive Jatinderjit Singh Mann as Director (Marketing) of MMTC Limited
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
IPS Shikha Goel
IPS Shikha Goel
IPS Mukesh Kumar Bhamoo
ADVERTISEMENT
ADVERTISEMENT