MUMBAI, July 9 (Reuters) - India’s Shriram Transport Finance is planning to raise up to 7.5 billion rupees ($123.22 million) through a public issue of bonds, two sources with direct knowledge of the deal said on Tuesday, in what could be the first retail bond sale in the current fiscal.
The non-banking financial institution will raise funds through 36-month and 60-month bonds with interest payment frequencies which offer an effective yield ranging from 9.65 percent to 11.15 percent for different categories of investors, the sources said.
Base size of the issue is 3.75 billion rupees and the bond sale is scheduled to open on July 16 and close on July 29, they said.
The public sale of bonds comes amid vast regulatory changes for the NBFC sector.
The Reserve Bank of India said it would hold off implementing a notification issued last week that mandated a minimum wait of six months between two private placements from a non-bank financial firm.
$1 = 60.8650 Indian rupees Reporting by Archana Narayanan; Editing by Sunil Nair