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
IAS Officers Indian Administrative Services (IAS)
Retired IAS Officer Manoj Aggarwal Named Chief Mentor for Ahmedabad International Literature Festival
IPS Officer Indian Police Services
IPS Officer Accused of Fund Misuse to Remain in Custody Till Oct 17, ACB Court Rules
Durga Shakti Nagpal
UP Cadre IAS Officer Durga Shakti Nagpal Faces ₹1.63 Cr Penalty Over 'Unauthorised Stay' in Government Bungalow
IAS Officers Indian Administrative Services IAS logo
Retired but Not Forgotten: 2 Ex-HCS Officers Elevated to IAS After Tribunal Order
IPS Y
What Killed an Honest IPS? Y Puran Kumar's 9 Page Suicide Note Unlocks Secrets of Job Stress, Names 3 Top Officials
CM Mohan Yadav
Madhya Pradesh CM Mohan Yadav Urges IAS Officers to Drive Inclusive Development and Good Governance
Coal-Production-resized
India’s Coal Exports Rise 23.4% to 1.9 Million Tonnes in FY 2024-25, Boosting Regional Energy Security
Rail News
Cabinet Approves ₹24,634 Crore Multi-Tracking Railway Projects to Enhance Connectivity in Four States
ADVERTISEMENT
ADVERTISEMENT
Videos
IDES Saquib Alam
UPSC Strategy & Mindset Tips from IDES Officer Saquib Alam | Video Interview 
Dr G K Goswami IPS
Everything you ever wanted to know about e-murder, e-dacoity and data safety
IFS Ravikant Meena UPSC IFS
Ravikant Meena on IFS Preparation, Optionals, and Life in Forest Service
ADVERTISEMENT
UPSC Stories
Jitendra Baghel MPPSC
7 Years, 4 Interviews, Now Dy.SP: How Jitendra Baghel Cracked MPPSC Through Relentless Struggle
Jitendra Baghel’s inspiring journey from a humble farming background to MPPSC Dy.SP showcases relentless...
IDES Saquib Alam
UPSC Strategy & Mindset Tips from IDES Officer Saquib Alam | Video Interview 
Discover how IDES officer Saquib Alam left his corporate job at Mahindra, overcame six UPSC attempts,...
Utkarsh Ujjwal IAS
IAS Utkarsh Ujjwal Shares Key Advice for UPSC Aspirants: Work Ethic, Failure, and Focus
Read the inspiring journey of IAS Utkarsh Ujjwal, 2023 batch, Gujarat cadre. From IIT Guwahati to clearing...
Social Media
World Rhino Day India
On World Rhino Day, IFS Officer Parveen Kaswan Shares Rare Insights - India Now Hosts 80% of the World’s One-Horned Rhinos
September 22 Marks Global Call for Rhino Conservation; India Holds 80% of World’s Greater One-Horned...
Parag Madhukar Dhakate
Relentless Rains Wreak Havoc in Dehradun: IFS officer PM Dhakate Warns Citizens Amid Flash Floods
Cloudbursts in Dehradun triggered flash floods. IFS officer Dr. PM Dhakate warned citizens to stay indoors...
Forest Guard Tiger Encounter
Tigers Clash in the Wild as Forest Guards Capture Rare Footage , Retired IFS Mohan Pargaien Posts Viral Video
Retired IFS officer Mohan Pargaien shares viral video of three tigers brawling in Ramnagar, as forest...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
IAS Officers Indian Administrative Services (IAS)
Retired IAS Officer Manoj Aggarwal Named Chief Mentor for Ahmedabad International Literature Festival
IPS Officer Indian Police Services
IPS Officer Accused of Fund Misuse to Remain in Custody Till Oct 17, ACB Court Rules
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
IDES Saquib Alam
Dr G K Goswami IPS
IFS Ravikant Meena UPSC IFS
ADVERTISEMENT
ADVERTISEMENT