Edelweiss Financial Services Ltd. on Monday announced the public issue of secured redeemable non-convertible debentures to raise up to Rs 400 crore.
The financial services provider has come up with a base issue of Rs 200 crore with an option to retain over-subscription up to Rs 200 crore, aggregating to Rs 400 crore.
The NCD issue priced at a face value of Rs 1,000 each will open for subscription on Tuesday, January 3. The issue closes on Monday, January 23, with an option of early closure.
There are ten series of NCDs carrying fixed coupons and having a tenure of 24 months, 36 months, 60 months, and 120 months with annual, monthly, and cumulative interest options.
Effective annual yield for NCDs ranges from 8.99 percent to 10.46 percent.
At least 75 percent of the funds raised through the issue will be used for the purpose of repayment or prepayment of interest and principal of existing borrowings of the company and the balance is proposed to be utilised for general corporate purposes.
The NCDs proposed to be issued under the Tranche I Issue have been rated “CRISIL AA-/Negative” and “ACUITE AA-/Negative”. Equirus Capital Pvt. Ltd. is the lead manager of the NCD issue.
The NCDs will be listed on the BSE to provide liquidity to investors.
Edelweiss Financial Services Ltd. started as an investment banking firm and it has diversified its businesses through its subsidiaries to include retail and corporate credit, asset management, asset reconstruction, insurance, and wealth management businesses.
Shares of Edelweiss Financial Services ended 0.078 percent higher at Rs 64.10 on Monday.
