Muthoot FinCorp eyes Rs 600 cr via retail bonds issuance
Gold loan company Muthoot FinCorp plans to raise up to ₹600 crore through a bond issue targeted at retail investors to support business growth.
The bonds will offer yields ranging from 8.70% to 9.10%, with tenure options of 24, 36, 60, and 72 months available.
The flagship company of Kerala-based Muthoot Pappachan Group opened the issue for subscription on Friday. The offer will remain open until March 23.
The base issue size is ₹200 crore, with a greenshoe option to retain oversubscription of up to ₹400 crore, the company said.
"This offering is intended to support onward lending and financing activities, repay/prepay interest and principal on existing debt, and meet general corporate needs," the company said.
The bonds are rated 'AA-/positive' by Crisil Ratings and 'AA/stable' by Brickwork Ratings India, indicating a high degree of safety for the timely servicing of financial obligations.
Muthoot FinCorp, which is not publicly listed, had standalone assets under management of ₹48,122 crore at the end of December, up 63% from the same period a year earlier, driven largely by demand for gold loans.
The bonds will offer yields ranging from 8.70% to 9.10%, with tenure options of 24, 36, 60, and 72 months available.
The flagship company of Kerala-based Muthoot Pappachan Group opened the issue for subscription on Friday. The offer will remain open until March 23.
The base issue size is ₹200 crore, with a greenshoe option to retain oversubscription of up to ₹400 crore, the company said.
"This offering is intended to support onward lending and financing activities, repay/prepay interest and principal on existing debt, and meet general corporate needs," the company said.
The bonds are rated 'AA-/positive' by Crisil Ratings and 'AA/stable' by Brickwork Ratings India, indicating a high degree of safety for the timely servicing of financial obligations.
Muthoot FinCorp, which is not publicly listed, had standalone assets under management of ₹48,122 crore at the end of December, up 63% from the same period a year earlier, driven largely by demand for gold loans.