The National Stock Exchange (NSE) will auction investment limits for overseas investors for the purchase of corporate bonds worth Rs 9,475 crore on Monday. The auction will be conducted on NSE’s e-bid platform from 3.30 pm to 5.30 pm after the close of market hours, the exchange said in a circular.
The auction quota gives overseas investors the right to invest in debt up to the stipulated limit. Till yesterday, the total investment in the corporate debt category had reached Rs 2,15,848 crore, which is 96 per cent of the total permitted threshold of Rs 2,25,323 crore, as per the latest update with depositories.
“Consequently, the exchange shall conduct an auction for the allocation of unutilised debt limits (worth Rs 9,475 crore) on January 22, 2018,” NSE said.
To make trading members accustomed to the bidding platform, the exchange will conduct a mock bidding session today.In an auction conducted earlier this month, investment limits for corporate bonds had attracted bids to the tune of Rs 15,961 crore by foreign portfolio investors (FPIs) against Rs 13,756 crore put on offer.