Summary:
GHMC wants to increase scope participation of arrangers to mobilise more funds and better coupon rate for speedy implementation of Strategic Road Development Plan (SRDP) in Hyderabad. In view of this, GHMC has proposed to give opportunity for more number of arrangers to participate in the bidding process along with the existing arranger ie, SBI Caps. With this arrangement, GHMC has issued three series of bonds, Series-I, Rs 200 crore with coupon rate of 8.90 per ceny, Series-II, Rs 195 crore with coupon rate of 9.38 per cent and Series-III, Rs 100 crore with coupon rate at 10.23 per cent. Among all the bidders, the ones with the lowest coupon rate to an extent of Rs 20 crore and above would be eligible for arranger fee. This will not result in any additional financial liability on GHMC as the arrangers fee of 0.10 per cent approved by the State government, will be paid to the eligible arranger..