The non-banking finance division of India Infoline Ltd on Wednesday announced its decision to issue secured redeemable non-convertible debentures (NCDs) to raise Rs 1,050 crore.

India Infoline Finance said it would issue redeemable NCDs, which would mature in three years and five years, will have a face value of Rs 1,000 each. The face value of the NCDs would aggregate up to Rs 525 crore, while an option to retain over-subscription of a similar amount will take the figure to the company's target of Rs 1,050 crore.

Subscribers will get an annual coupon of 12 per cent on NCDs with maturing period of three years as well as five years. There will also be option of interest payment on monthly basis with a yield of 12.68 per cent annually

R Venkataraman, Group managing director of India Infoline, saidm,

"We are offering an attractive yield of 12.68 per annum on the monthly interest option."

Trust Investment Advisors, Axis Capital and IDBI Capital Market Services will be the lead managers to the issue.

The issue will be opened for subscription on 17th of September and closed on 4th of October this year. The NCDs will be listed on the Bombay Stock Exchange (BSE) as well as the National Stock Exchange (NSE).