Arttimez, October 2024 : Muthoot FinCorp Limited has announced the launch of its XVII Tranche II series of Non-Convertible Debentures (NCDs), aiming to raise Rs. 250 crore. The subscription window will be open from October 11, 2024, to October 24, 2024. Muthoot FinCorp Limited, on Friday, announced XVII Tranche II series of secured, redeemable, non-convertible debentures of face value of Rs 1000 each (“NCDs”) to raise an amount aggregating to Rs 250 crore which is within the shelf limit of Rs 2000 crore. This is the Tranche II issuance from the Company. The XVII Tranche II issuance amounts to Rs 75 crore (“Base Issue Size”) with a green shoe option of Rs 175 crore aggregating up to Rs 250 crore (“Tranche II Issue Limit”) (“Tranche II Issue”).
The XVII Tranche II Issue is open to the public from October 11, 2024, and will close on October 24, 2024. However, it may close earlier if approved by the Company’s Board of Directors or the Stock Allotment Committee. This is in line with Regulation 33A of the Securities and Exchange Board of India (SEBI) regulations related to the issue and listing of non-convertible securities.
The XVII Tranche II Issue offers Non-Convertible Debentures (NCDs) with various maturity options: 24, 36, 60, 72, and 92 months. Investors can choose from different payment plans: monthly, annual, or cumulative. The effective yield for investors ranges from 9.00% to 10.10% per year. These NCDs of the announced tranche have been rated ‘CRISIL AA-/Stable’, indicating a strong credit quality. They are also planned to be listed on the BSE (Bombay Stock Exchange). The money raised from this issue will be used for lending, financing, paying off existing debts, and general company expenses.
“We are pleased to announce the next series of NCDs that will provide safe investment opportunities to our valued investors. Investors can invest conveniently through Muthoot Fincorp’s 3,700+ branches across the country or invest up to ₹5 lakh from the comfort of their homes through our mobile app, Muthoot Fincorp One.” Shaji Varghese, Chief Executive Officer, Muthoot Fincorp Ltd.
