debenture issue

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 March 2010 can a listed company issue unlisted non convertible debentures to a bank on private placement basis..........?
if yes what are requirements to be fulfilled....?

Rasesh

Rasesh (Expert)
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17 March 2010 From the Company's point of view, a Board Resolution will suffice. Just check the borrowing limits u/s 293(1)(d).

The Issuer may require you to have a deb. trust deed and sign various agreements for the same.

Querist : Anonymous

Querist : Anonymous (Querist)

18 March 2010 pls help

Rasesh

Rasesh (Expert)
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18 March 2010 Precisely to your query, listing of privately placed NCD has been made compulsory. I will try to locate the circular and provide you the same. The stock exchange will grant the listing permission since your company is already listed. You will have to file the Information memorandum and the Listing Application Form duly filled for listing of debentures.

In case you require any other details, please state.

Rasesh

Rasesh (Expert)
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18 March 2010 I would like to correct my view. The compulsory listing is only for public issue of debentures. For private placement, it is only optional.

However, the Bank may have its internal guidelines, which may require listing.

I am seding a link for the SEBI regulations for your ready ref:
http://www.sebi.gov.in/acts/debtregu.pdf

Querist : Anonymous

Querist : Anonymous (Querist)

18 March 2010 tnamks for ur suggestion

Querist : Anonymous

Querist : Anonymous (Querist)

18 March 2010 can d company issue such debentures to a bank.....?i.e on private placement basis....?

Rasesh

Rasesh (Expert)
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18 March 2010 Considering all what has been discussed above, Yes.

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