Balkrishna Industries Limited has announced the approval of a significant fundraising initiative through the issuance of ₹550 crore in non-convertible debentures (NCDs). The Finance Committee of the Board approved the issuance and allotment of 55,000 NCDs, each with a face value of INR 1,00,000. These debentures are rated, listed, senior, unsecured, redeemable, non-cumulative, and will be issued on a private placement basis to eligible investors. The issuance falls within the company’s existing borrowing limits.
Fundraising Through Debentures
Balkrishna Industries Limited (BKT) has received the green light from its Finance Committee to raise capital through the issuance of non-convertible debentures (NCDs). This strategic move aims to bolster the company’s financial resources and support its growth objectives. The decision was made during a meeting held on August 18, 2026.
Issue Details and Size
The company plans to issue and allot a total of 55,000 NCDs. Each debenture will have a face value of INR 1,00,000 (One Lakh Rupees). This issuance is set to aggregate up to INR 550 crore (Five Hundred Fifty Crores Rupees). These instruments are described as rated, listed, senior, unsecured, redeemable, non-cumulative, and non-convertible debentures. The fundraising will be conducted through a private placement basis, targeting eligible investors.
Delegated Powers and Compliance
Further to a delegation of powers made by the Board of Directors on July 29, 2026, the Finance Committee was empowered to decide on all terms and conditions related to the issuance of non-convertible debentures. The total borrowing for this issue will remain within the company’s current borrowing limits as prescribed under Section 180(1)(c) of the Companies Act, 2013. The specific details regarding the tenure, coupon/interest rates, and redemption will be disclosed at the time of allotment.
Listing and Meeting Schedule
The issued NCDs are proposed to be listed on the BSE Limited, providing liquidity for investors. The Finance Committee meeting commenced at 4:00 p.m. and concluded at 4:30 p.m. on August 18, 2026.
Source: BSE
