Muthoot Finance is planning to raise Rs 300 crore through issue of secured non-convertible debentures (NCDs). In this regard, the company has filed the draft prospectus with market regulator Securities and Exchange Board of India (SEBI) for public issuance of the same.
The NCD issue aims at aggregating up to Rs 150 crore with an option to retain over-subscription of up to Rs 150 crore for issuance of additional NCDs aggregating to a total of up to Rs 300 crore.
The raised fund will be used for financing activities, including lending and investments, besides utilising them to repay existing loans, capital expenditure plans and to meet working capital requirements. ICICI Securities is the lead managers to the issue, while Link Intime India is registrar to the issue.
Muthoot Finance is a non-deposit taking systemically important non-banking finance company (NBFC). It is primarily in the business of lending against used household gold jewellery to individuals.
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