Auction of govt stock

PANJIM, MAY 7
Government  of Goa has offered to sell Goa State Government Stock (Securities) of ten-year tenure of an aggregate amount of Rs 100 crore (Nominal). Government Stock will be sold through the Reserve Bank of India, Mumbai Office (PDO) Fort, Mumbai by auction at a coupon rate to be determined by the Reserve Bank of India at the yield based auction under multiple price format. The auction will be conducted by the Reserve Bank of India at its Mumbai Office, Fort, Mumbai on May 11, 2010.
Bids for the auction should be submitted in electronic format, on the Negotiated Dealing System (NDS) on May 11, 2010. The competitive bids shall be submitted electronically on the Negotiated Dealing System (NDS) between 10.30 am and 12.30 pm and the non-competitive bids shall be submitted electronically on the Negotiated Dealing System (NDS) between 10.30 am and 11.30 am. The result of the auction shall be displayed by the Reserve Bank of India on its website on the same day. The payment by successful bidders will be on May 12, 2010 before close of banking hours by means of cash, banker’s cheque/pay order, demand draft payable at Reserve Bank of India, Mumbai (Fort). The loan will be repaid at par on May 12, 2020. The cut-off yield determined at the auction will be the coupon rate percent per annum on the Stock sold at the auction. The interest will be paid every half yearly on November 12 and May 12.
The auction is also open to eligible individuals and institutions on non competitive basis to maximum limit of 10% of the notified amount.
The Goa State Government Stock will be issued for a minimum amount of Rs 10,000 (face value) and in multiples thereof.
The Reserve Bank of India will have full discretion to accept or reject any or all bids either wholly or partially, if deemed fit, without assigning any reason.
This is a part of planned borrowing as approved by the Government of India.