One of India’s leading small finance banks, Jana Small Finance Bank Ltd, on Thursday (October 9), announced that its board of directors has approved the raising of capital through the issuance of Non-Convertible Debentures (NCDs).The proposed issuance will comprise rated, listed, unsecured, subordinated, redeemable, fully paid-up non-convertible debentures, categorised as Lower Tier II Capital in compliance with the Basel II framework on capital adequacy. The NCDs will be issued in a single series on a private placement basis to one or more prospective eligible investors.
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The total issue size is up to ₹250 crore, and the NCDs are proposed to be listed on BSE Limited. The tenure of the instrument, along with details on coupon, interest payment schedule, and maturity date, will be determined by the Board of Directors.As the proposed issuance is unsecured, no charge will be created over assets. The bank also confirmed that there are no special rights, interests, or privileges attached to the instrument.
Shares of Jana Small Finance Bank Ltd ended at ₹478.00, down by ₹1.75, or 0.36%, on the BSE.
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