Muthoot Fincorp NCD Details February 2021
Muthoot Fincorp Limited has launched a new non-convertible debentures scheme. The subscription period of the issue started from February 18, 2021, and will close on March 09, 2021. The Muthoot Fincorp NCD scheme is secured, redeemable, non-convertible debentures and/or unsecured subordinated non-convertible debentures ( unsecured NCDs).
Basic Details of NCD:
| Issue Opens | Feb 18, 2021 – March 09, 2021 |
| Security Name | Muthoot Fincorp Limited |
| Security Type | Secured, Redeemable, Non-Convertible Debentures (Secured NCDs) and/or Unsecured Subordinated Non-Convertible Debentures (Unsecured NCDs) |
| Issue Size | Rs. 150.00 crores |
| Issue Size ( Shelf) | Rs. 150 crores |
| Minimum Lot Size | 10 NCD |
| Market Lot | 10 NCD |
| Face Value | Rs. 1,000 per NCD |
| Issue Price | Rs. 1,000 per NCD |
| Listing At | BSE |
| Credit Rating | The NCDs have been rated ‘A (Stable)’ by CRISIL Limited |
| Tenor | 27, 38, 60 and 72 months |
| Series | Series I to Series IX |
| Payment Frequency | Monthly, Yearly or Cumulative |
| Basis of Allotment | First Come First Serve Basis |
Investment Object:
The net proceeds of the investment to be utilized towards working on capital purpose and general corporate purpose.
According to the SID, the base size of the issue is Rs. 150 crores and shelf size remain at Rs. 150 crores. The price of the issue fixed at Rs. 1,000 per NCD bond with a face value of Rs. 1,000 each NCD.
Further, the Market lot of the issue is 10 NCDs and a minimum lot size of the issue is 10 NCDs.
Besides, the proposed issue to be listed on Bombay Stock Exchange.
Further, the scheme will lead by SMC Capitals Limited.
Coupon Rates:
| Series | Nature | Tenor (Months) | Frequency of Interest Payment | Coupon Rate ( Retail) | Effective Yield ( Annually) | Amount on Maturity |
| I | Secured | 27 | Monthly | 8.25% | 8.57% | Rs. 1,000 |
| II | 38 | 8.50% | 8.84% | |||
| III | 60 | 8.75% | 9.10% | |||
| IV | 72 72 |
9.00% | 9.38% | |||
| V | Annually | 9.40% | 9.40% | |||
| VI | 27 | Cumulative | NA | 8.58% | Rs. 1,203 | |
| VII | 38 | 8.84% | 1,370 Rupees | |||
| VIII | 60 | 9.10% | Rs. 1,546 | |||
| IX | 72 | 9.40% | Rs. 1,714 |
This NCD offer remains rated as “CRISIL/A” stable by CRISIL. The rating indicates that instruments with this rating are deemed to hold a sufficient degree of safety regarding timely servicing of financial obligations and carry the lowest credit risk.
Disclaimer: Investors should consult their financial advisers if in doubt about whether the product is suitable for them. Before investment, refer to the SID and statement of additional information available free of cost at any of the Investor Service Centres or distributors.