Neyveli Lignite to raise 5 bln rupees via bonds

MUMBAI, Jan 12 (Reuters) - Neyveli Lignite Corp (NELG.BO: Quote, Profile, Research) will raise at least 5 billion rupees through bonds starting Monday, two bankers associated with the deal said.

The 10-year bonds carry a coupon rate of 8.83 percent and are rated 'AAA' by Crisil and ICRA, they added.

The issue, which has a greenshoe option to retain oversubscription of up to 1 billion rupees, is slated to close on Jan. 20 but bankers expect the transaction to close on Monday or Tuesday.

Earlier this month, the board of the coal miner and power generator approved raising up to 18.50 billion rupees worth capital through various means. (Reporting by Jeanette Rodrigues; Editing by Ramya Venugopal)