The base issue size is ₹150 crore. The NCDs have a face value of ₹1,000 each and are being offered across 10 series with tenures of 24, 36, 60 and 120 months.
The effective annual yield on the NCDs ranges from 8.64% to 10%, according to the company. The instruments offer annual, monthly and cumulative interest payment options, depending on the series.
The issue opened on September 21 and is scheduled to close on October 5, subject to the provisions allowing for an earlier or extended closure.
At least 75% of the funds raised will be used to repay or prepay existing borrowings, while the remaining amount will be used for general corporate purposes, subject to a limit of 25% of the amount raised.
The NCDs have been assigned a ‘Crisil A+/Stable’ rating by Crisil Ratings. The securities will be listed on BSE and will be issued and traded in dematerialised form.
The allotment will generally follow a first-come, first-served basis. However, once the issue is oversubscribed, allotments will be made on a proportionate basis, according to the issue documents.The company has stated in its issue documents that investment in the NCDs involves risk and has advised prospective investors to refer to the prospectus, including the sections covering risk factors and material developments, before subscribing.
The issue is being managed by Trust Investment Advisors, Nuvama Wealth Management and Tipsons Consultancy Services.