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IIFL Finance gains on buying back $50 million worth of overseas bonds at par

06 Apr 2022 Evaluate

IIFL Finance is currently trading at Rs. 303.25, up by 0.50 points or 0.17% from its previous closing of Rs. 302.75 on the BSE.

The scrip opened at Rs. 304.50 and has touched a high and low of Rs. 305.90 and Rs. 299.10 respectively. So far 27215 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 375.05 on 03-Nov-2021 and a 52 week low of Rs. 234.05 on 29-Jun-2021.

Last one week high and low of the scrip stood at Rs. 313.90 and Rs. 282.60 respectively. The current market cap of the company is Rs. 11507.53 crore.

The promoters holding in the company stood at 24.93%, while Institutions and Non-Institutions held 21.91% and 53.16% respectively.

IIFL Finance has bought back $50 million worth of overseas bonds at par, funded by a corresponding loan of the same amount from a global bank, which will reduce its cost of funds by approximately 225 basis points on this transaction.

IIFL Finance had raised $400 million through its maiden overseas bonds issue in February 2020 at an effective issue price of $998.75 per $1000 of face value, to fund its business growth. The company had in the last two years bought back $26.3 million worth of bonds in various tranches, and launched a tender offer on March 21, 2022 to further buy back up to $50 million worth of bonds.

The minimum bid price for bondholders under the tender offer was $970 per $1000 of face value of bonds. However, most bids received were closer to the par value, and accordingly the company bought back the entire tender amount of $50 million at par. The buyback was done under modified Dutch auction process, which is a reverse book building mechanism. All accepted bids (i.e. atpar or lower) were settled at a uniform price of $1000 per face value on March 30, 2022. After this buyback, bonds of $323.7 million remain outstanding.

IIFL Finance is an Indian diversified financial services company.


IIFL Finance Share Price

470.85 -2.30 (-0.49%)
20-Apr-2026 10:43 View Price Chart
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