Muthoot FinCorp raises Rs 200 cr through private placement of NCDs
Summary
Muthoot FinCorp has raised Rs 200 crore from the State Bank of India through private placement of non-convertible debentures maturing in five years, the company said on December 26.The company has set a 9.75 percent coupon on these bonds and the frequency of the interest payment will be half-yearly, officials told Moneycontrol.The lender will use these proceeds for onward lending, business operations and further expansion and growth plan, said Shaji Varghese, CEO of Muthoot FinCorp. The entire amount of the issue has been invested by SBI in the private placement of bonds, he told Moneycontrol.The secured issued non-convertible debentures have been rated AA- with a stable outlook by CRISIL and it will be listed on the debt market segment of the BSE. These bonds were issued by the company with Rs 1 lakh face value, release said.Muthoot FinCorp offers a host of products such as gold loans, Vyapar Mitra Business Loans, two-wheeler loans, used car loans, home loans, loans against property, domestic and international money transfer, foreign exchange, insurance products and services, and wealth management services.