17 Jun 2009 07:00
ALLOTMENT OF UNSECURED REDEEMABLE NON-CONVERTIBLE SUBORDINATED DEBENTURES (LOWER TIER II DEBENTURES) AGGREGATING TO RS. 2000 CRORES (RS. 1,500 CRORES PLUS GREEN SHOE OPTION UPTO RS. 500 CRORES).
We are pleased to inform that the Board of Directors of the Bank has passed a resolution on 16th June, 2009 approving Allotment of Unsecured Redeemable Non-Convertible Subordinated Debentures on private placement basis as the Bank's Lower Tier II capital aggregating to Rs. 2000 crores. The Debentures are issued as per the term sheet enclosed.
The Debentures will be listed on The Bombay Stock Exchange (BSE) and The National Stock Exchange (NSE) in India.
Term Sheet Tier - II Capital (Series - 18)
| Issuer | Axis Bank Limited |
| Instrument | Unsecured Redeemable Non Convertible Subordinated Debentures (Lower Tier II) (Series - 18) |
| Issue Size | Rs.1500 Crores plus Green Shoe Option up to Rs.500 Crores |
| Rating | "AAA [Triple A]" by CARE & "AAA (ind)" by FITCH |
| Face Value & Issue Price | Rs. 10,00,000/- (Rupees Ten Lacs Only) per Debenture |
| Amount Payable on Application | Rs. 10,00,000/- (Rupees Ten Lacs Only) per Debenture |
| Minimum Application Size | 1 Debenture and in multiples of 1 Debenture thereafter |
| Tenure | 10 Years |
| Coupon Rate | 9.15% p.a. |
| Coupon Payment* | Annual |
| Redemption | Bullet Redemption at par at the end of 120 months from the Date of Allotment. In terms of RBI master circular no. DBOD.No.BP.BC. 11 /21.06.001/2008-09 dated July 1, 2008; these Debentures are free of restrictive clauses and are not redeemable at the initiative of the holder or without the consent of the Reserve Bank of India. |
| Interest on application money* | Interest on application money will be same as the Coupon rate (subject to deduction of Tax at Source at the rate prevailing from time to time under the provisions of the Income Tax Act, 1961 or any other statutory modifications or re-enactment thereof) will be paid on application money to the applicants from the date of realisation but excluding the Date of Allotment. |
| Computation of Interest | Interest payable on the Debentures will be calculated on the basis of actual number of days elapsed in a year of 365 or 366 Days as the case may be. |
| Terms of Subordination | Pari-passu among themselves and with other subordinated indebtedness of Axis Bank Ltd., and subordinate to the claims of all other unsecured creditors and depositors of Axis Bank Ltd., as regards repayment of principal and interest by the Issuer. |
| Holiday Convention | If any of the interest or principal payment dates is a holiday or unscheduled non-business day in Mumbai, interest will be payable on the next succeeding business day in Mumbai and shall be the interest / principal payment date. Such payment on the next working day would not constitute non-payment on due date. |
| Depository | NSDL & CDSL |
| Listing | BSE and NSE |
| Debenture Trustee | IDBI Trusteeship Services Limited |
| Security | Not Applicable. The Debentures are unsecured in nature. |
| Settlement | Payment of interest and principal will be made by way of Cheques/ DD's/Electronic mode. |
*- Subject to deduction of tax at source, if any
Axis Bank Regs (AXB)