The Board of Directors of Five-Star Business Finance Limited, following a meeting on Tuesday, March 17, 2026, approved the framework for raising capital. The Board authorized the issuance of Non-Convertible Debentures (NCDs) aggregating up to INR 5000 Crores. These NCDs will be issued via private placement in various tranches or series over time. Further disclosures regarding listing, tenure, and allotment will be made at the time of each specific issuance.
Board Resolution on Capital Raising
At the Board Meeting held on Tuesday, March 17, 2026, which commenced at 10:00 AM and concluded at 1:00 PM, the Directors of Five-Star Business Finance Limited passed a significant resolution concerning debt capital. The Board has sanctioned the overall limits for future fundraising activities.
Approval for Non-Convertible Debentures (NCDs)
The primary approval granted was for the issuance of Non-Convertible Debentures (NCDs). The aggregate limit authorized for this issuance stands at up to INR 5000 Crores. This capital will be raised through a Private Placement mechanism, allowing the company flexibility to issue NCDs in one or more tranches and/or series over a period of time.
Disclosure Framework
As per the disclosure mandate, the securities proposed are Non-Convertible Debentures to be issued through Private Placement. The Board has set the maximum aggregate issuance limit at INR 5000 Crores. If the NCDs are proposed to be listed, the Designated Stock Exchange will be disclosed at the time of allotment. All other material details, including tenure, interest rates, and allotment dates, will be disclosed subsequently upon the actual allotment of each series of debentures, ensuring compliance with ongoing disclosure norms.
It was noted that there are Nil provisions for delay in payment of interest or principal beyond three months, and no special rights or privileges are attached to the proposed instruments.
Source: BSE
