Let’s have a detailed review of the company and analytics of the Muthoot Fincorp Limited NCD release date, NCD issue size, subscription, Muthoot Fincorp Limited NCD allotment and other details like the company’s background, its financial positions, its promoters and other related things.
Muthoot Fincorp Limited NCD – September 2019 Detail
| Credit Rating | BWR A+/ Stable by Brickworks |
| Issue Open | Sep 20, 2019 |
| Issue Close | Oct 18, 2019 |
| Issue Size (Base) | Rs 250.00 Crores |
| Issue Size (Shelf) | Rs 250.00 Crores |
| Issue Price | Rs 1000 per NCD |
| Face Value | Rs 1000 each NCD |
| Minimum Lot size | 10 NCD |
| Market Lot | 1 NCD |
| Listing At | BSE |
| Tenor | 400 days/24 months/36 months |
| Series | Series I to Series VIII |
| Payment Frequency | Monthly, Annually or Cumulative |
| Basis of Allotment | First Come First Serve Basis |
Muthoot Fincorp Limited NCD – Basis of the Offer Price
| ISSUE STRUCTURE | |
| Security Name | Muthoot Fincorp Limited NCD |
| Security Type | Secured, Redeemable, Non-Convertible Debentures (Secured NCDs) |
| Coupon payment frequency | Monthly, Annually or Cumulative |
| Coupon type | Fixed |
| Tenor | 400 days/24 months/36 months |
| Depository | NSDL and CDSL |
| Disbursement | SEBI Debt Regulations |
| Debenture Trustee | Catalyst Trusteeship Limited |
Muthoot Fincorp Limited NCD Dates
The opening and the closing date of Muthoot Fincorp Limited NCD is Sep 20, 2019, to Oct 18, 2019.
Muthoot Fincorp Limited NCD Subscription
| Day / Date | QIB Category 1 | NII Category 2 | HNI Category 3 | RII Category 4 | Total Subscription |
| 1st – 10th Day : till Oct 1, 2019 | 0.00x | 0.74x | 1.01x | – | 0.80x |
| 10th – 20th Day : till Oct 14, 2019 | 0.00x | 1.21x | 1.90x | – | 1.44x |
| 20th – Last Day : till Oct 18, 2019 | 0.00x | 1.60x | 2.45x | – | 1.86x |
| Shares Offered or Net Issue | 250,000 | 1,000,000 | 1,250,000 | – | 2,500,000 |
The shares subscribed by the public will be updated here.
Muthoot Fincorp Limited NCD Allotment Status
Here, you can find the Allotment Status of this NCD.
Muthoot Fincorp Limited NCD Share Offering
Public issue by their Company of NCDs of face value INR 1,000 each for an amount aggregating up to INR 25,000 lakhs, with an option to retain over-subscription up to INR 25,000 lakhs, aggregating up to INR 50,000 lakhs, on the terms and in the manner set forth herein
Muthoot Fincorp NCD Allocation Ratio
| NCD Allocation Ratio | |
| Category | NCD’s Allocated |
| QIB – Category 1 | 10% |
| Corporate – Category 2 | 40% |
| HNI – Category 3 | 50% |
| RII – Category 4 | 0% |
Muthoot Fincorp Limited NCD’s Offered
| NCD’s Offered | |
| Category | NCD’s Reserved |
| QIB – Category 1 | 250,000 |
| NII – Category 2 | 1,000,000 |
| HNI – Category 3 | 1,250,000 |
| RII – Category 4 | 0 |
| Total NCD’s | 2,500,000 |
Muthoot Fincorp NCD Coupon Rates
| Tenure | 400 Days | 24 months | 36months | 24 months | 36months | 400 days | 24 months | 36months |
| Nature | Secured | |||||||
| Options | I | II | III | IV | V | VI | VII | VIII |
| Frequency of Interest Payment | Monthly | Monthly | Monthly | Annually | Annually | Cumulative | Cumulative | Cumulative |
| Minimum Application | Rs.10,000 (10 NCDs) | |||||||
| In multiples, of | 1 NCD after the minimum application | |||||||
| Face Value of NCDs (Rs. /NCD) | Rs. 1,000 | |||||||
| Issue Price (Rs. /NCD) | Rs. 1,000 | |||||||
| Mode of Interest Payment/ Redemption | Through various options available | |||||||
| Coupon (%) per annum* | 9.00% | 9.25% | 9.50% | 9.50% | 10% | 9.25% | 9.5% | 10.00% |
| Coupon Type | Fixed | |||||||
| Redemption Amount (Rs. /NCD) for Debenture Holders* | 1,000 | 1,000 | 1,000 | 1,000 | 1,000 | 1,102 | 1,199 | 1,331 |
| Effective Yield (%)(per annum)* | 9.38% | 9.65% | 9.92% | 9.50% | 10.00% | 9.30% | 9.95% | 11.03% |
| Put and Call Option | Not applicable | |||||||
Muthoot Fincorp Limited NCD Issue Object
The Company has filed this Prospectus for a public issue of NCDs aggregating to Rs. 25,000 lakhs with an option to retain oversubscription up to Rs. 25,000 lakhs, aggregating to Rs. 50,000 lakhs.
The funds raised through this Issue, after deducting the Issue related expenses to the extent payable by their Company (the “Net Proceeds”), are estimated to be approximately Rs. 49,850 lakhs.
The Net Proceeds of the Issue are intended to be utilized by their Company for the following objects (collectively, referred to herein as the “Objects”) subject to applicable statutory and regulatory requirements:
1. For the purpose of Working Capital – 75% of the amount raised and allotted in the Issue; and
2. For General Corporate Purposes – 25% of the amount raised and allotted in the Issue
Muthoot Fincorp Limited – Company Overview
The Company is one of the largest Indian NBFCs engaged primarily in the business of providing personal and business loans secured by gold jewellery and ornaments.
The Gold loan products are structured to serve the business and personal purposes of individuals who do not have ready or timely access to formal credit or to whom credit may not be available at all, to meet unanticipated or other short-term liquidity requirements.
The Gold loan portfolio of their Company as of June 30, 2019 comprised approximately 28.50 Lakhs loan accounts that were serviced through 3,551 branches located across 19 states, union territory of Andaman and Nicobar Islands and the national capital territory of Delhi.
They have been engaged in the Gold loans business for over a decade and are headquartered in Kerala, India. The Company provides retail loan products, primarily comprising of Gold loans.
The Gold loan products include Muthoot Blue Guide Gold loan, Muthoot Blue Bright Gold loan, Muthoot Blue Power Gold loan, Muthoot Blue Bigg Gold loan, Muthoot Blue Smart Gold loan and 24×7 Express Gold loan.
The product of their Company, the “24×7 Express Gold loan” can be utilised by individuals who require quick loans against their gold jewellery and who have an existing loan with the Company. This is a type of top up loan. “Smart Plus Gold loan”, the other Gold loan variant of their Company is specifically designed for salaried customers, with tenure of up to 24 months.
Muthoot Fincorp Limited NCD Lead Managers
| Lead Managers |
| SMC Capitals Limited A 401/402, Lotus Corporate Park Jai Coach Junction Off Western Express Highway, Goregaon (East) Mumbai – 400 063, Maharashtra Tel: +91 22 6648 1818; Fax: +91 22 6734 1697 Email: mflncd2019@smccapitals.com Investor Grievance Email: investor.grievance@smccapitals.com Website: www.smccapitals.com Contact person: Mr. Satish Mangutkar SEBI Registration No.: MB/INM000011427 |
Muthoot Fincorp NCD Debenture Trustee
| Debenture Trustee |
| Catalyst Trusteeship Limited GDA House, Plot No 85 Bhusari Colony (Right), Paud Road Pune – 411 038, Maharashtra Tel: +91 20 2528 0081 Fax: +91 20 2528 0275 E-mail: dt@ctltrustee.com Investor Grievance Email: grievance@ctltrustee.com Website: www.catalysttrustee.com Contact Person: Mr. Umesh Salvi SEBI Registration No.: IND000000034 |
Muthoot Fincorp NCD Registrar to offer
| Registrar to the Offer |
| Integrated Registry Management Services Private Limited II Floor, Kences Towers, No. 1 Ramakrishna Street North Usman Road, T. Nagar Chennai – 600 017, Tamil Nadu Tel: +91 44 2814 0801 – 803 Fax: +91 44 2814 2479 Email: mfinipo@integratedindia.in Investor Grievance Email: sureshbabu@integratedindia.in Website: http://www.integratedindia.in Contact Person: Mr. Sriram S SEBI Registration Number: INR000000544 |
Muthoot Fincorp Limited NCD Ratings
The NCDs proposed to be issued under this Issue have been rated “BWR A+” (BWR A-plus; Outlook: Stable)’ for an amount of ` 50,000 lakhs, by Brickwork Ratings India Private Limited (“Brickworks”) vide their letter dated August 23, 2019.
The rating of BWR A+ by Brickworks indicates that instruments with this rating are considered to have an adequate degree of safety regarding timely servicing of financial obligations and carry lowest credit risk.
For the rationale for these ratings, see Annexure A and B to this Prospectus. This rating is not a recommendation to buy, sell or hold securities and investors should take their own decision.
This rating is subject to revision or withdrawal at any time by the assigning rating agencies and should be evaluated independently of any other ratings.
Muthoot Fincorp Limited NCD News
News 1 – RHP Prospectus [Download]
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