IIFL Samastha Finance,which is one of India's largest Non Banking Micro Finance Companies (NBFC-MFI) will raise upto Rs.1000 crores through its maiden public issue of Secured Bonds for the purpose of business growth and capital augmentation.The Bonds offer upto 10.50% .The issue opens on Monday, December,4,2023 and closes on Friday,December,15,2023 with an option of early closure..IIFL Samastha is a part of IIFL Finance,which is one of India's largest retail focused NBFCs with loan assets under management of Rs.73,066 crores.
IIFL Samastha Finance will issue bonds aggregating to Rs.200 crores with a green shoe option to retain over subscription of upto Rs.800 crores( aggregating to a total of Rs.1000 crores).The IIFL Samastha Bonds offer highest coupon rate of 10.50% per annum for tenor of 60 months.The NCD's is available in tenors of 24,36,& 60 months. The credit rating is CRISIL AA-/positive by CRISIL ratings and Acuite AA/Stable by Acuite Ratings and research Ltd.which indicates that the instruments are considered to have a high degree of safety and timely servicing of financial obligations and carry very low credit risk.IIFL Samastha received a rating outlook upgrade to "Positive' from "stable ' by CRISIL earlier this month.
Mr.Venkatesh.N.,MD & CEO,Samastha Finance said," IIFL Samastha finance has a strong physical presence across India through about 1500 branches. It caters to the needs of underserved and unserved population,primarily women entrepreneurs from under privileged background through a well diversified portfolio.The funds raised will be used to meet credit demand from more such customers and bolster business growth".IIFL Samastha finance had loan assets under management of Rs.12,196 crores at the end of September,2023 and has reported a
profit of Rs.233 crores in the first six months of FY 2024.It has a Gross NPA of 2.11% and net NPA of 0.57% as a percentage of the loan book as on September,30,2023.
profit of Rs.233 crores in the first six months of FY 2024.It has a Gross NPA of 2.11% and net NPA of 0.57% as a percentage of the loan book as on September,30,2023.
The Lead Managers to the issue are JM Financial Ltd.,IIFL Securities Ltd.,Nuvama Wealth Management Ltd. ,and Trust Investment Advisors Private limited.The NCD's will be listed on the BSE and National Stock Exchange(NSE).The face value is Rs.1000/-and the minimum application size is Rs.10,000 across all categories.The allotment will be on first come first served basis.
The investors are advised to go through the details of the offer before investing.
