What is the meaning of OFCD?

What is the meaning of OFCD?

Acronym. Definition. OFCD. Optionally Fully Convertible Debenture (finance; India)

What are convertible debentures in one sentence?

A convertible debenture is a type of long-term debt issued by a company that can be converted into shares of equity stock after a specified period. Convertible debentures are usually unsecured bonds or loans, often with no underlying collateral backing up the debt.

What are CCDs and Ocds?

Debentures are debt instruments. Broadly, the popular debenture instruments used by FPIs are of three kinds: Non-convertible debentures (NCD), Compulsorily Convertible Debentures (CCDs), and Optionally Convertible Debentures (OCD). NCDs are pure debt instruments.

What is OCD debenture?

Definition: Optionally convertible debentures are debt securities which allow an issuer to raise capital and in return the issuer pays interest to the investor till the maturity.

Can a company issue interest free debentures?

Zero Rates of Interest Debentures: Company can issue this type of debenture, Rate of interest in these debentures will be zero. As stated in section 71(4) the company shall create a debenture redemption reserve account out of the profits of the company available for payment of dividend.

What do debenture holders receive as return on investment?

Debenture holders receive fixed rate of interest as per quantum as return on investment.

Can CCDs be redeemed?

Compulsorily convertible debenture also known as CCD is a type of debenture in which the whole value of the debenture must be converted into equity by a specified time. No Debenture Redemption Reserve is required to be created in case of CCDs.

Can CCDs be bought back?

Buyback of securities is another alternative, however, CCDs cannot be bought back. CCDs must be converted into the underlying equity shares to be bought back. the share premium can then be used for buy-back of the shares.

What is NCD?

Non-convertible debentures (NCD) are fixed-income instruments, usually issued by high-rated companies in the form of a public issue to accumulate long-term capital appreciation. They offer relatively higher interest rates when compared to convertible debentures.

Did Sahara return the money?

Capital markets regulator Sebi has managed to refund Rs 129 crore to investors of two Sahara companies in nearly nine years after being assigned the task by the Supreme Court, while the amount deposited in specially-opened bank accounts for the repayment purpose has swelled to over Rs 23,000 crore, according to the …

What does OFCD stand for in real estate?

20,000 crore with 15% interest that his two companies Sahara India Real Estate Corp Ltd and the Sahara Housing Finance Corp Ltd had raised through optionally fully convertible debentures ( OFCD) in 2007 and 2008. Acronyms browser ? Full browser ? is now available in paperback and eBook formats.

When is the deadline for refund of OFCD?

The deadline fixed in the August 31 Supreme Court order for refunding the money collected from the public by two Sahara companies under the OFCD ( optionally fully convertible debentures) scheme was November 30, 2012.

What does OFCD mean in SEBI Sahara case?

It means Sahara OFCD is a bit tricky game. Investors should have some knowledge and understanding of share prices, company performance etc. else they could lose money. (or end up not getting maximum profit out of their investment). Now let’s move to the SEBI-SAHARA case.

What do people with OFCD syndrome look like?

People with OFCD syndrome often have a long, narrow face with distinctive facial features, including deep-set eyes and a broad nasal tip that is divided by a cleft. Some affected people have an opening in the roof of the mouth called a cleft palate.