D S Kulkarni Developers to tap Rs 100 cr via NCDs

 Pune-based realty developer D S Kulkarni Developers Ltd said on Friday that it will raise Rs 100 crore by issuing secured non-convertible debentures (NCDs) on August 4.

The company plans to use the proceeds of the issue to finance its projects under development, D S Kulkarni Developers Executive Director Shirish Kulkarni said.

The NCDs will offer four investment options. For options I, II and IV, the minimum application size will be five NCDs aggregating Rs 25,000 (face value Rs 5,000), while for option III the size is one NCD of size Rs 25,000 (face value Rs 25,000). The coupon rates for these four options will be 12.5 per cent per annum for option I, 12.65 per cent for option III and 12.75 per cent for option IV.

The effective yields will be 13.1 per cent per annum for Option I; 13.43 per cent for Option II; 12.65 per cent for Option III and 13.52 per cent for Option IV. The tenor for these four options are-36 months with a quarterly interest payout for option I; 66 months and payout on maturity of option II; 72 months for option III with annual payout and 84 months with annual payout for option IV.

The company is offering an additional coupon rate of 25 bps to women investors, shareholders, senior citizens, servicemen and ex-servicemen. The NCDs have been rated ‘CARE BBB+’  for an amount of upto Rs 200 crore and will be listed on the BSE. The issue will be lead managed by SBI Capital Markets Ltd.