Muthoot FinCorp, part of the 138-year-old Muthoot Pappachan Group, has announced the launch of Tranche IV of its secured, redeemable non-convertible debentures (NCDs). The subscription window is open from February 4 to February 17, 2025, subject to early closure upon approval from the Board of Directors or the Stock Allotment Committee.CompanyValueChange%ChangeMuthoot FinCorp aims to raise ₹400 crore through the NCDs, which is within its ₹2,000 crore shelf limit. The base issue size is ₹100 crore, with a green shoe option of ₹300 crore.The funds will primarily be used for lending, financing, the repayment of existing debt obligations, and general corporate purposes, the company said.
The NCDs offer yield of 9.38% to 10.10% per annum, depending on the tenure selected by the investor. The available tenure options include 18, 24, 36, 60, and 72 months.
The NCDs have been rated “CRISIL AA-/Stable” by CRISIL Ratings, which signifies a high degree of safety for timely servicing of financial obligations.These instruments are scheduled to be listed on the debt market segment of the Bombay Stock Exchange (BSE), offering liquidity to investors.The NCD issue is open to both institutional and retail investors. Individual investors applying through intermediaries for amounts up to ₹5 lakh must use UPI for blocking funds.Alternatively, investors can also apply through SCSBs and stock exchange platforms.Investors can apply for the NCDs via Muthoot FinCorp’s digital platform, the Muthoot FinCorp ONE app, or visit any of the company’s 3,700+ branches across India.First Published: Feb 4, 2025 4:49 PM IST
