L&T Finance Limited has decided to exercise the call option on its Subordinated Perpetual Tier – I Debt (NCDs) originally issued by L&T Infrastructure Finance Company Limited. Following approval from the Reserve Bank of India on February 12, 2026, the principal outstanding and the annual coupon will be redeemed on March 18, 2026. The formal notice to debenture holders was dispatched on February 13, 2026.
Call Option Exercised on Perpetual Debt
L&T Finance Limited (formerly L&T Finance Holdings Limited) has formally announced the exercise of the call option concerning its Subordinated Perpetual Tier – I Debt (NCDs). These instruments were initially issued by L&T Infrastructure Finance Company Limited in March 2016.
In adherence to the terms specified in the Offer Document, which allows for a call option exercise after a minimum period of 10 years, the Company has taken this step. The decision was finalized after receiving necessary approval from the Reserve Bank of India via an email dated February 12, 2026.
Redemption Details Confirmed
The exercise of the call option mandates the full redemption of the principal outstanding along with the payment of the accrued annual coupon. The designated date for the payment and final redemption is March 18, 2026.
The annual coupon rate applicable to these Debentures is set at 9.50% p.a. The Company has established March 02, 2026, as the Record Date for determining the eligible debenture holders for this final payment.
Notice Dissemination
This letter serves as the official ‘NOTICE’ to all debenture holders, based on the Beneficiary Position dated February 06, 2026. The formal letter detailing the redemption process was sent to debenture holders on February 13, 2026.
Source: BSE
