- Tranche IV Public Issue Targets Up to ₹60,000 Lakh Within ₹3,00,000-Lakh Shelf Limit
- Secured NCDs Offer Effective Annual Yields of Up to 9.25% Across Multiple Tenures
- Funds to Power Lending Growth, Debt Optimization and Corporate Expansion
- Issue Open Till July 3; Applications Enabled Through UPI, Branch Network and Digital Platforms
NE BUSINESS BUREAU
MUMBAI, JUNE 22
In a move aimed at attracting income-seeking investors amid evolving market conditions, Muthoot FinCorp Limited has launched the Tranche IV public issue of secured, redeemable non-convertible debentures (NCDs), seeking to mobilise up to ₹60,000 lakh (₹600 crore).
The issue, which opened on June 19, 2026, will remain available for subscription until July 3, 2026, subject to early closure in accordance with regulatory provisions.
The flagship company of the Muthoot Pappachan Group is offering NCDs with a face value of ₹1,000 each, providing investors with multiple investment horizons of 24, 36, 60 and 72 months. The instruments offer effective annual yields ranging from 8.84% to 9.25%, making them an attractive proposition for investors seeking relatively stable fixed-income opportunities.
The NCD issue comprises a base size of ₹20,000 lakh along with a green shoe option of ₹40,000 lakh, aggregating to ₹60,000 lakh, within the company’s approved shelf limit of ₹3,00,000 lakh.
According to the company, the proceeds from the issue will be utilised for onward lending, financing activities, repayment or prepayment of existing borrowings, servicing interest obligations and general corporate purposes, reinforcing its growth strategy in the financial services sector.
The proposed NCDs have received strong credit assessments, being rated CRISIL AA/Stable by CRISIL Ratings Limited and BWR AA/Stable by Brickwork Ratings India Private Limited, indicating a high degree of safety regarding the timely servicing of financial obligations.
The company plans to list the instruments on the debt market segment of the BSE, providing liquidity and trading access to investors post-allotment.
To simplify participation, individual investors applying through intermediaries such as stockbrokers, syndicate members, registrar and transfer agents (RTAs) and depository participants can use the UPI-based application process for investments up to ₹5 lakh, while other application channels remain available through Self-Certified Syndicate Banks (SCSBs) and exchange platforms.
Announcing the launch, Shaji Varghese, CEO of Muthoot FinCorp Ltd., said: “We are pleased to announce the launch of our new NCD series, offering investors a secure investment opportunity. Participation is made seamless through our extensive network of over 3,800 branches, our mobile app — Muthoot FinCorp ONE, and through partner network.”
With interest in fixed-income products witnessing renewed momentum, Muthoot FinCorp’s latest NCD offering seeks to combine attractive yields, strong credit ratings and widespread accessibility, positioning itself as a notable fundraising initiative in India’s non-banking financial sector.
