Edelweiss Financial Services announces ₹ 5,000 million Public Issue of Secured Redeemable Non-Convertible Debentures
Mumbai : Edelweiss Financial Services Limited (EFSL), on Tuesday announced the public issue of Secured Redeemable Non-Convertible Debentures (NCDs) of the face value of ₹1,000 each, amounting to ₹ 2,000 million (Base Issue), with an option to retain over-subscription up to ₹ 3,000 million aggregating to a total of ₹ 5,000 million (Tranche-I Issue).
There are ten series of NCDs carrying fixed coupon and having tenure of 24 months, 36 months, 60 months and 120 months with annual, monthly and cumulative interest option. Effective annual yield for NCDs ranges from 8.75% to 9.70% per annum.
At least 75% of the funds raised through this Tranche-I Issue will be used for the purpose of repayment /prepayment of interest and principal of existing borrowings of the Company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the Tranche I Issue, in compliance with the Securities and Exchange Board of India (Issue And Listing Of Non-Convertible Securities) Regulations, 2021.
An additional incentive maximum of 0.20% p.a. will be offered for all Category of Investors in the proposed Tranche I Issue, who are also holders of non-convertible debentures(s)/bond(s) previously issued by Edelweiss Financial Services Limited, and/ or its group companies, i.e. ECL Finance Limited, Edelweiss Housing Finance Limited, Edelweiss Retail Finance Limited and Edelweiss Finance & Investments Limited, as the case may be, and/or are equity shareholder(s) of EFSL as the case may be, on the deemed date of allotment.