Kerala hereby notifies the sale of Kerala Government Stock (securities) of 10-year tenure for an aggregate amount of Rs. 500.00 crore (Nominal)
GOVERNMENT OF KERALA
FINANCE
DEPARTMENT
NOTIFICATION
Government of
Kerala hereby notifies the sale
of Kerala Government
Stock (securities) of 10-year
tenure for an aggregate amount of Rs. 500.00 crore (Nominal). The sale will be subject to the terms and
conditions spelt out in this notification (called Specific Notification) as
also the terms and conditions specified in the General Notification No.
18596/SS1/07/Fin. dated July 20,2007 of Government of Kerala.
Object
of the Loan
1. (i) The proceeds
of the loan will be utilized for financing the developmental activities ofthe State.
(ii) Consent of Central Government has been
obtained to the floatation of this loan asrequired by Article
293(3) of the Constitution of India.
Method
of Issue
2. Government Stock will
be sold through the Reserve Bank
of India, Mumbai
Office(PDO), Fort,
Mumbai-400 001 by auction in the manner as prescribed in paragraph 6.1 of the
General Notification
No. 18596/SS1/07/Fin. dated
July 20, 2007
at a coupon
rate to be determined by the Reserve Bank of India at
the yield based auction under multiple price formats.
Allotment
to Non-Competitive Bidders
3. The Government
Stock up to 10% of the notified amount of the sale will be allotted toeligible individuals
and institutions subject to a maximum limit of 1% of the notified amount for a
single bid as per the Revised Scheme for Non-competitive Bidding Facility in
the Auctions of State Government Securities of the General Notification
(Annexure-II).
Place
and Date of Auction
4. The auction will
be conducted by the Reserve Bank of India, at its Mumbai Office, Fort,Mumbai, 400 001 on October
28, 2014. Bids
for the auction should be submitted in electronic format, on the Reserve Bank
of India Core Banking Solution (E-Kuber) system as stated below on October 28, 2014.
(a) The competitive
bids shall be submitted electronically
on the Reserve Bank of IndiaCore Banking Solution
(E-Kuber) system between 10.30 A.M. and 12.00 P.M.
(b) The non-
competitive bids shall be submitted
electronically on the Reserve Bank ofIndia Core Banking Solution (E-Kuber)
system between 10.30 A.M. and 11.30 A.M.
Result
of the Auction
5. The result of the
auction shall be displayed by the Reserve Bank of India on its websiteon the same day. The payment by successful bidders will be on October
29, 2014.
Method
of Payment
6. Successful bidders
will make payments on October 29, 2014 before
close of bankinghours by means of
cash, bankers’ cheque/pay order, demand draft payable at Reserve Bank ofIndia,
Mumbai/Thiruvananthapuram or a cheque drawn on their account with Reserve Bank
of India, Mumbai (Fort)/Thiruvananthapuram.
Tenure
7. The Stock will
be of 10-year
tenure. The tenure
of the Stock
will commence on October
29, 2014.
Date
of Repayment
8 The loan will be
repaid at par on October 29, 2024.
Rate
of Interest
9. The cut-off yield
determined at the auction will be the coupon rate percent per annum on the Stock sold at the
auction. The interest will be paid on April 29 and October 29.
Eligibility
of Securities
10. The
investment in Government Stock will
be reckoned as an eligible investment
inGovernment Securities
by banks for the
purpose of Statutory Liquidity Ratio (SLR) under Section
24 of the Banking Regulation Act 1949.
The stocks will qualify for the ready forward facility.
By order and in the name of
the Governor of Kerala,
RABINDRAKUMAR AGARWAL,
Secretary (Finance Resources).
Government of
Kerala
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