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• Issuer - National Highways Authority of IndiaNature of Instrument - Tax-Free Secured Redeemable Non-Convertible Bonds in the nature of DebenturesIssue Size - Rs. 5,000 crore with an option to retain oversubscription of up to Rs. 5,000 crore
• Issue Opening Date - December 28, 2011
• Issue Closing Date - January 11, 2012
• Tax Benefits - The income by way of interest on these Bonds shall not form part of total income as per provisions under section 10 (15) (iv) (h) of I.T. Act, 1961; There shall be no deduction of tax at source from the interest, which accrues to the bondholders in these bonds irrespective of the amount of the interest or the status of the investors;As per provisions under section 2 (29A) of the I.T. Act, read with section 2 (42A) of the I.T. Act, a listed Bond is treated as a long term capital asset if the same is held for more than 12 months immediately preceding the date of its transfer. Under section 112 of the I.T. Act, capital gains arising on the transfer of listed Bonds shall be taxed @ 10% without indexation;
• Wealth Tax is not levied on investment in Bond under section 2(ea) of the Wealth-tax Act, 1957.
• Instrument Form - At the option of investors, in dematerialized as well as in physical form
• Security - Pari passu charge on the immovable property situated at Ahmadabad and exclusive first charge on fixed assets of NHAI, being highway project comprising of all superstructure including highway lightings, road barriers and dividers, bridges, culverts and all other super structures constructed on national highways entrusted to NHAI
• Credit Rating - "CRISIL AAA/Stable" by CRISIL, "CARE AAA" by CARE and "Fitch AAA(ind)" by FITCH
• Face Value - Rs. 1,000/- per Bond
• Issue Price - At par i.e. Rs. 1,000/- per Bond
• Minimum Application - 50 Bonds (Rs. 50,000/-) and in multiples of 1 Bonds (Rs. 1,000/-) thereafter

Interest on Application Money

• At the respective coupon rate on Bonds (subject to deduction of tax at source, as applicable) will be paid to the eligible applicants to whom the Bonds are allotted pursuant to the Issue on the amount allotted from the date of realization of the cheque(s)/demand draft(s) or 3 (three) days from the date of receipt of the application (being the date of submission of each application as duly acknowledged by the Bankers to the Issue) whichever is later up to one date prior to the Deemed Date of Allotment.
• @ 4.00% p.a. (subject to deduction of tax at source, as applicable) on application money which is liable to be refunded to the applicants from the date of realization of the cheque(s)/demand draft(s) or 3 (three) days from the date of receipt of the application (being the date of presentation of each application as acknowledged by the Bankers to the Issue) whichever is later upto one day prior to the Deemed Date of Allotment. Such interest shall be paid along with the monies liable to be refunded.
• Cheque in favour of Resident Individuals: Escrow Account NHAI – Tranche – I
• Non-Resident Individuals: NRI Escrow Account NHAI – Tranche – I
• Collection Centres - Union Bank Of India, State Bank Of India, Syndicate Bank, ICICI Bank, Axis Bank, HDFC Bank.

Who can apply?

• Public Financial Institutions,
• Statutory Corporations,
• Commercial Banks,
• Co-operative Banks,
• Regional Rural Banks,
• Provident Funds,
• Pension Funds,
• Superannuation Funds,
• Gratuity Funds,
• Insurance Companies registered with the IRDA,
• National Investment Fund,
• Mutual Funds,
• Foreign Institutional Investors (including sub-accounts),
• Companies; Bodies Corporate and Societies registered under the applicable laws in India and authorised to invest in the Bonds,
• Public/ Private Charitable/ Religious Trusts which are authorised to invest in the Bonds,
• Scientific and/or industrial research organisations, which are authorised to invest in the Bonds;
• Partnership firms in the name of the partners,
• Limited liability partnerships formed and registered under the provisions of the Limited Liability Partnership Act, 2008 (No. 6 of 2009)

The following investors applying for an amount aggregating to above Rs. 5 lakhs in both the bond series taken together:

• Resident Indian individuals;
• Hindu Undivided Families through the Karta and
• Non Resident Indians* on repatriation as well as non-repatriation basis.

The following investors applying for an amount aggregating to up to and including Rs. 5 lakhs in both the bond series taken together:

• Resident Indian individuals;
• Hindu Undivided Families through the Karta and
• Non Resident Indians* on repatriation as well as non-repatriation basis.
• Reservation for Categories 40% of overall issue size i.e. 4000 cr for Others. 30% of overall issue size i.e. 3,000 cr for HNI. 30% of overall issue size i.e. 3,000 cr for Retail.
• Basis of allocation in case of over subscription On first-come-first-serve basis for HNI and others and On pro rata / proportionate basis for Retail.
• * Applications by NRI in Physical Form shall be submitted only at the collection centres located at Mumbai, Delhi, Ahmedabad, Hyderabad, Chennai, Bangalore, Chandigarh and Kochi.
• Documents Required in case of NRI Application in Physical Form:

- Indian Passport

- PAN Card issued by Indian Income Tax Department

- Overseas address proof: Such as utility bills, driving license, bank details.

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