Issue Highlights:

Issue Opens	Wednesday, January 27, 2016
Issue Closes	Wednesday, February 10, 2016
Issue Size	Rs. 500 crores with an option to retain oversubscription upto Rs. 1,211.50 crores aggregating to total of upto Rs. 1711.50 crores.
Lead Manager	Edelweiss Financial Services Ltd., Axis Capital Ltd., ICIC Securities Ltd., SBI Capital Markets Ltd. and RR Investors Capital Services Pvt. Ltd.
Issue Price	Rs. 1000 per bond
Face Value	Rs. 1000 per bond
Min Application	5 Bonds (Rs. 5,000) (individually or collectively, across all series of bonds) and in the multiple of one bond (Rs. 1,000) thereafter
Nature of Bonds	Tax-free secured redeemable and non-convertible
Rating	'CARE AAA' from CARE and 'IND AAA' from IRRPL
Allotment	First Come First Serve Basis
Listing On	BSE
Issue Break up*	QIB: 20%; Corporate : 20%; HNI: 20%; Retail: 40%
Retail Client Application Limit	Max Rs. 10 lakhs or less

About HUDCO

The Company was incorporated as Housing and Urban Development Finance Corporation Private Limited on April 25, 1970 as a private limited company under the Companies Act, 1956 and was granted a certificate of incorporation by the then Registrar of Companies, Delhi. Subsequently the name of the Company was changed to its present name and a fresh certificate of incorporation dated July 9, 1974 was issued by the then Registrar of Companies, Delhi and Haryana. The Company was notified as a public financial institution under Section 4A of the Companies Act, 1956 on December 9, 1996. The President of India holds 100% of the paid up equity share capital of the Company, either directly or through nominee shareholders.

Highlights of Tax Free Bonds

• Interest from these Bonds do not form part of total income as per provisions of Section 10(15) (iv)(h) of Income Tax Act, 1961 read along with Section 14A(1) of the Income Tax Act.
• Since the interest income on the bonds is exempt, no tax deduction at source ("TDS") is required. However interest on application money would be liable for TDS as well as would be subject to tax as per present tax laws.
• Wealth tax has been abolished w.e.f. financial year 2015-16 i.e. assessment year 2016-17.

Objects for Issue

The net issue proceeds as raised through each of the tranche are proposed to be utilisedto finance the projects and/activities mainly relating to housing for EWS/ LIG categories during the current year and/over the years, and for such other purposes as may be permitted by Ministry of Finance, Government of India or any other authority, from time to time.

Terms of Series of Bonds

Coupon Rates for Category I, II and III
Series of Bonds*	Tranche I Series IA	Tranche I Series IIA
Coupon Rate (%) per annum	7.02%	7.39%
Annualized Yield (%) per annum	7.02%	7.39%
Coupon Rates for Category IV
Series of Bonds*	Tranche I Series IB	Tranche I Series IIB
Coupon Rate (%) per annum	7.27%	7.64%
Annualized Yield (%) per annum	7.27%	7.64%
Options	Series IB	Series IIB
Tenure of Bonds	10 years	15 years
Maturity/Redemption Date	10 years from deemed date of allotment	15 years from deemed date of allotment

Click here for the detailed prospectus

Category I Includes - QIBs | Category II Includes - Corporates | Category III Includes - HNIs | Category IV Includes - Retail Individual Investors