IIFL Samasta to mop up Rs 1,000 cr via bonds
Will issue bonds, aggregating to Rs200 crore, with a green shoe option to retain oversubscription of up to Rs800 crore
New Delhi: IIFL Samasta Finance on Friday said it plans to raise up to Rs1,000 crore through its maiden public issue of non-convertible debentures (NCDs), for the purpose of business growth and capital augmentation. The non-banking microfinance companies (NBFC-MFI) will issue bonds, aggregating to Rs200 crore, with a green shoe option to retain over-subscription of up to Rs800 crore (aggregating to a total of Rs1,000 crore).
The bonds, which opens for subscription on Monday, proposes to offer highest coupon rate of 10.50 per cent per annum for tenor of 60 months. NCD is available in tenors of 24 months, 36 months and 60 months. The frequency of interest payment is available on monthly and annual basis for each of the series. The company caters to the credit needs of underserved and unserved population, primarily women entrepreneurs from underprivileged background through a well-diversified portfolio through a network of 1,500 branches, IIFL Samasta Finance MD and CEO Venkatesh N said.
The public offer closes on December 15, 2023 with an option of early closure. The bonds would be issued at a face value of Rs1,000 and the minimum application size is Rs10,000 across all categories. The funds raised will be used to meet credit demand from more such customers and bolster business growth, the company’s treasury head Mohan Kumar said.
