Muthoot Finance to raise Rs 750 cr through NCD

Muthoot Finance to raise Rs 750 cr through NCD

Agency News

New Delhi, Feb 13 : Muthoot Finance Ltd has announced its 19th series of public issue of Secured Redeemable Non-convertible Debentures.

The issue is with a base issue size of Rs 100 crore with an option to retain oversubscription upto Rs 650 crore aggregating upto tranche limit of Rs 750 crore (“Tranche I issue”).

The issue opens on February 14, 2019 and closes on March 14, 2019 with an option to close on such earlier date or extended date as may be decided by the Board of Directors or NCD committee.

The issue is rated by two Credit Rating Agencies – CRISIL Ltd and ICRA Ltd. Both agencies have awarded long term debt rating of ‘AA/Stable’ for the debentures offered under the issue. The rating scale denotes ‘High degree of safety regarding timely servicing of financial obligations and very low credit risk’.

The NCDs are proposed to be listed on BSE Limited.

There are nine investment options for Secured NCDs with monthly or annual interest payment frequency or on maturity redemption payments with effective yield per annum ranging from 9.25 per cent to 10.00 per cent.

The funds raised through this issue will be utilised primarily for lending activities of the Company. (UNI)