Introduction of the term secured premium notes
Give a brief introduction of the term ‘secured premium notes’?
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Secured premium notes are issued with the warrant that is kind of removed. This can be redeemed after a notice period of four to seven years. This way it makes sure the holder right to apply and acquire the allotted equity shares. Secured premium notes has lock-in periods throughout which the interest is not essentially to be paid for the invested amount. It also has several options to do the sell back to the holders at par or face value subsequent to the lock-in period.
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