Cholamandalam Investment and Finance Company Limited has successfully completed the allotment of Secured Non-Convertible Securities, raising a total of ₹1,000 crore. This private placement, listed on the NSE EBP, includes a green shoe option of ₹350 crore. The securities carry a coupon rate of 8.64% and are set to mature on July 2, 2029.
Capital Infusion Through Secured NCDs
Cholamandalam Investment and Finance Company Limited has confirmed the allotment of its latest series of Secured Non-Convertible Securities. This issuance, conducted via private placement on the NSE Electronic Book Providers (EBP) platform, successfully raised a total of ₹1,000 crore. The total amount allotted, including the green shoe option, stands at ₹1,000 crore (₹650 crore base issue plus ₹350 crore green shoe).
Key Terms of the Issuance
The newly allotted securities are classified as Secured Non-Convertible Securities and are listed on the WDM (Wholesale Debt Market) segment of the NSE. The coupon rate for this issuance is set at 8.64%, with a re-issue yield of 7.98%. The tenure of these securities is approximately 2 years, 10 months, and 11 days (1046 days). Interest payments are scheduled annually, with the first payment due on July 2, 2027, and the final payment along with the principal on the maturity date, July 2, 2029.
Security and Collateral
The Non-Convertible Debentures are secured and carry a security cover of 1x. The company has also confirmed that there are no delays or defaults in interest or principal payments beyond three months. Furthermore, there are no outstanding letters or comments regarding payment concerns or other matters related to these securities.
Source: BSE
