Mumbai, Sep 9 (PTI) Gold financing company, Muthoot Finance, today said it plans to raise Rs 500 crore through issuance of secured redeemable non-convertible debentures (NCDs).
The company plans to raise an initial amount of Rs 250 crore, with a green shoe option to retain 100 per cent over-subscription and thus raising the total size of the issue to Rs 500 crore.
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"The funds raised through this issue will be used for our various financing activities including lending and investments, to repay our existing loans and our business operations including for our capital expenditure and working capital requirements," the company today said in a press release.
This is 13th NCD offer from Muthoot Finance with investment tenors ranging from 400 days to 60 months and is offering coupon rate ranging from 8.75-9.50 per cent depending on tenure and the category.
The issue which opened on September 7, will close on October 7, with an option of early closure date depending upon the level of subscription.
The NCD under this issue have been rated AA-/Stable by Icra. Post allotment, NCDs will be listed on BSE.