AFAkme Fintrade (India)544200NCD issuance

Board allots 50,000 NCDs aggregating INR 50,00,00,000 in two series

Board allotted 50,000 NCDs of INR 10,000 each, aggregating INR 50,00,00,000 on private placement basis.

By ScoutQuest · Mon 19 Oct 2026, 11:46 AM IST · 2 min read

Total NCD Issue Size

50,000 NCDs of INR 10,000 each, aggregating INR 50,00,00,000

Series A1 Terms

25,000 NCDs, INR 25,00,00,000, 11.40%, up to 24 months

Series A2 Terms

25,000 NCDs, INR 25,00,00,000, 11.60%, up to 30 months

What the board approved

• The Board of Directors, at its meeting on Monday, October 19, 2026, allotted 50,000 Secured, Listed, Rated, Transferable, Redeemable, Non-Convertible Debentures on a private placement basis to eligible investors.
• Each debenture has a face value of INR 10,000, taking the total issue size to INR 50,00,00,000 (Indian Rupees Fifty Crores), split equally across two series.
• The debentures are proposed to be listed on NSE Limited.

The two series

• Series A1: 25,000 NCDs aggregating INR 25,00,00,000, coupon 11.40%, tenure up to 24 months from the deemed date of allotment, date of maturity October 19, 2028.
• Series A2: 25,000 NCDs aggregating INR 25,00,00,000, coupon 11.60%, tenure up to 30 months from the deemed date of allotment, date of maturity April 19, 2029.
• Interest is payable monthly and principal on maturity, in line with the Debenture Trust Deed executed between the issuer and the Debenture Trustee.

Security and protection clauses

• The company shall maintain a minimum security cover of at least 1.10x at all times during the tenure of the debentures, over loan receivables, present and future, that meet the eligibility criteria.
• A payment default or any other Event of Default attracts additional interest of 2% per annum above the applicable interest rate on the outstanding principal, from the date of the default until it is cured or the final redemption amount is paid, whichever is earlier.
• Breach of covenants and undertakings attracts additional interest of 2% p.a. over the coupon rate for the defaulting period, payable within 30 calendar days of the breach and at the end of every subsequent 30-day period until cured.
• Delay in executing the Hypothecation Agreement and perfecting security attracts additional interest of 2.00% over the interest rate; delay in executing the Debenture Trust Deed attracts penal interest of at least 2% p.a. over the coupon rate until it is executed.

How to read this

• The company is raising INR 50,00,00,000 through debt rather than equity, so the number of shares does not change on account of this allotment.
• The coupons of 11.40% and 11.60% represent the cost the company pays on this borrowing, with interest paid every month.
• The security cover and penal interest terms are lender safeguards built into the instrument, and the money is secured against loan receivables of the company.
• The notes carry no special rights or privileges attached to the instrument.

What to watch

• Whether the debentures get listed on NSE Limited as proposed.
• The company's ability to keep the minimum security cover of 1.10x over its loan receivables through the tenure.
• The redemption schedule, with Series A1 due on October 19, 2028 and Series A2 on April 19, 2029.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.

About ScoutQuest · Logos provided by Logo.dev