HDFC Ergo General Insurance, an Indian insurance company, has accepted bids worth 3.25 billion rupees ($37.3 million) for subordinated bonds with a 10-year tenure. The bonds will offer an annual coupon of 8.20%. The issue will have a call option at the end of five years and every year thereafter. The company received bids from bankers and investors earlier in the day.
The deal is part of a list of deals reported on March 13, which includes:
* PFC (Power Finance Corporation) – 1 year and 1 month term, 7.75% coupon, 16.85 billion rupees issue size, rated AAA by Crisil, Care, and Icra.
* PFC – 3 years and 4 months term, 7.45% coupon, 40 billion rupees issue size, rated AAA by Crisil, Care, and Icra.
* LIC Housing Finance – 2-year term, to be decided coupon, 10+30 basis points, rated AAA by Crisil and Care.
* Can Fin Homes – 2 years and 2 months term, to be decided coupon, 4+12 basis points, rated AAA by Icra.
All of these deals are rated AAA by the respective credit rating agencies. The issue sizes include the base issue and greenshoe options, with total values in billions of Indian rupees.