Description
BSE notice regarding part redemption of three PGCIL bond series with reduced face values effective August 1, 2025.
Summary
Power Grid Corporation of India Limited (PGCIL) has announced part redemption of three bond series with record date of August 2, 2025. The bonds will trade with reduced face values effective August 1, 2025, with reductions ranging from Rs. 75,000 to Rs. 77,500 per debenture depending on the series.
Key Points
- Three PGCIL bond series affected: 7.40% (2033), 7.52% (2033), and 7.56% (2033)
- Record date fixed as August 2, 2025 for interest payment and part redemption
- Trading with reduced face values begins August 1, 2025
- Settlement number DR-686/2025-2026 applies to all three series
- Both interest payment and partial redemption will occur simultaneously
Regulatory Changes
No regulatory framework changes. This is a standard corporate action notification for bond redemption as per existing BSE procedures for debt securities.
Compliance Requirements
- Trading members must note the reduced face values for trading operations
- Systems must be updated to reflect new face values from August 1, 2025
- Proper settlement procedures must be followed for DR-686/2025-2026
Important Dates
- August 1, 2025: Effective date for trading with reduced face values
- August 2, 2025: Record date for interest payment and part redemption
- Settlement: DR-686/2025-2026
Impact Assessment
The part redemption affects three major PGCIL bond series with significant face value reductions (25% for the 7.40% series and 22.5% for the 7.52% and 7.56% series). This will impact bondholders’ portfolio values and require system updates by trading members. The simultaneous interest payment provides immediate cash flow to bondholders while reducing their bond holdings’ face value.
Impact Justification
Significant corporate action affecting three bond series with substantial face value changes, impacting bondholders and trading operations