Muthoottu Mini Financiers to Raise Rs 150 Crore via NCDs

New Delhi, Oct 29 (PTI) Muthoottu Mini Financiers has announced the launch of a public issue of its secured, non-convertible debentures (NCDs) with a face value of Rs 1,000 each.

The issue has a base size of Rs 100 crore, with an option to retain oversubscription up to Rs 50 crore, aggregating up to Rs 150 crore.

The NCD issue will open on Wednesday and conclude on November 13, with an option for early closure, as may be decided by the Board of Directors of the company or the debenture committee, subject to approvals as per Sebi norms, the company said in a statement on Tuesday.


NCDs will be available with effective annualised interest rates ranging from 8.84 per cent to 10.5 per cent, depending on the category and tenor chosen. The tenors offered are 450 days, 26 months, 36 months, 48 months and 66 months, it added.

The funds from the issue will be used for onward lending, financing, and repayment/ prepayment of principal and interest on borrowings of the company, and general corporate purposes.

The NCDs are proposed to be listed on the BSE.

Kerala-based Muthoottu Mini Financiers offers flexible gold loan schemes that offer to its customers efficient customer service, depending on individual needs.

The company also extends microfinance solutions, supporting a joint liability group of women entrepreneurs in underserved regions. These products are designed to cater to a broad customer base, especially in rural and semi-urban areas in Kerala.

In FY24, Muthoottu Mini had a total assets under management (AUM) of Rs 3,522.77 crore and posted a profit after tax (PAT) of Rs 77.83 crore.