Muthoot FinCorp Limited announces XVI Tranche IV series of NCDs, aims to raise Rs.360 crore

Bengaluru, April 10 2024: Muthoot FinCorp Limited (MFL or “Company”) the flagship company of 137-year-old Muthoot Pappachan Group (Muthoot Blue) has announced XVI Tranche IV series of secured, redeemable, non-convertible debentures (“NCDs”) to raise an amount aggregating to ₹360 crore which is within the shelf limit of ₹1100 crore. The tranche IV issuance amounts to ₹100 crore with a green shoe option of ₹260 crore aggregating up to ₹360 crore (“Tranche IV Issue”). The Tranche IV Issue with a face value of ₹1000 has been open to public from 10th April 2024 till 25th April 2024 subject to an early closure as may be approved by our Board of Directors or a duly constituted committee thereof of the Company, and subject to relevant approvals, in accordance with the Regulation 33A of the Securities and Exchange Board of India (Issue And Listing Of Non-Convertible Securities) Regulations, 2021,.

The NCDs under the Tranche IV Issue are being offered with maturity/tenure options of 26 months, 38 months, 60 months, 72 months and 94 months with monthly, annual, and cumulative payment options across different schemes – I, II, III, IV, V, VI, VII, VIII, IX, X, XI, XII and XIII from which the customers can conveniently choose. Effective yield (per annum) for the NCD holders in all categories of investors ranges from 8.90 percent to 10 percent. The secured NCDs issued under Tranche IV have been rated at AA-/ Stable by CRISIL and is proposed to be listed on the debt market segment of BSE. The funds will be used for onward lending, financing, and for repayment/ prepayment of interest and principal of existing borrowings of our Company and for the general corporate purposes.

“Our previous series have received positive response, and we hope to continue the momentum for this issue too. Customers can choose from the 13 different options in this Tranche and can invest through the 3600+ branches of MFL or via our mobile app Muthoot FinCorp ONE (upto Rs. 5lakhs). With the AA-/ Stable rating by CRISIL coupled with attractive interest rates and multiple tenure options we are focused on providing our investors with a suitable avenue to diversify their investment portfolio,” said Shaji Varghese, CEO – Muthoot FinCorp Limited.