India: Ennore Port to Raise Money for Dredging
Ennore Port Limited has announced a plan to enter the debt capital market to raise funding for dredging, improve port connectivity and set up a coal berth. It will issue tax-free secured, redeemable non-convertible bonds.
The bond issue aggregates up to Rs. 2,500 million, with an option to retain over-subscription up to Rs. 2,500 million aggregating to a total of Rs. 5,000 million.
The Coupon rate for Qualified Institutional Buyers (QIB), Corporate, High Net Worth Individuals (HNIs) has been fixed at 8.36% p.a. for 10 years, 8.75% p.a. for 15 years and 8.75% p.a for 20 years. For Retail Individual Investors, the coupon rate will be 8.61% p.a. for 10 years, 9.00% p.a. for 15 years and 9.00% p.a. for 20 years.
The funds raised through this Issue will primarily be used for capital dredging projects, augmenting the rail and road connectivity to the port and construction of third coal berth for captive use of Tamil Nadu Generation and Distribution Corporation Limited.
Press Release, February 18, 2014