Edelweiss Financial Services announces Rs 4,000 million Public Issue of Secured Redeemable NCDs

Ahmedabad: Edelweiss Financial Services Limited (“EFSL”), on Thursday announced the public issue of Secured Redeemable Non-Convertible Debentures (“NCDs”) of the face value of Rs 1,000 each, amounting to Rs  2,000 million (“Base Issue”), with an option to retain over-subscription up to Rs  2,000 million aggregating to Rs  4,000 million (“Tranche I Issue”). 

“There are ten series of NCDs carrying fixed coupons and having tenure of 24 months, 36 months, 60 months and 120 months with annual, monthly and cumulative interest options. Effective annual yield for NCDs ranges from 8.99% to 10.46%*,” the company said in its statement. 

The company statement further reads, “An additional incentive of 0.20% p.a. will be offered for all Category of Investors in the proposed Tranche I Issue, who are also holders of NCD(s)/Bond(s) previously issued by our Company, and/ or our group company, ECL Finance Limited, Nuvama Wealth & Investment Limited, Edelweiss Housing Finance Limited, Edelweiss Retail Finance Limited and Nuvama Wealth Finance Limited as the case may be, and/or are equity shareholder(s) of the Company as the case may be, on the deemed date of allotment.”

“The NCDs proposed to be issued under this Tranche I Issue have been rated “CRISIL AA-/Negative (pronounced as CRISIL double A minus rating with Negative outlook)” and “ACUITE AA-/Negative” (pronounced as ACUITE double A minus),” the statement added.

As per the release, “Equirus Capital Private Limited is the Lead Manager of this NCD issue. The Tranche I Issue opens on Tuesday, January 3, 2023 and closes on Monday, January 23, 2023 with an option of early closure. The NCDs will be listed on BSE Limited to provide liquidity to the investors. “