Allotment of Rs. 1,250 Crore Secured NCDs at 7.95% Coupon on Private Placement
Allotted 125,000 secured, rated, listed redeemable NCDs of face value Rs. 1,00,000 each, totalling Rs. 1250,00,00,000.
- Total NCD Issuance Amount
- Rs. 1250,00,00,000
- Number of NCDs Allotted
- 125,000
- Face Value per NCD
- Rs. 1,00,000
- Fixed Coupon Rate
- 7.95% p.a.
- Base Issue and Green Shoe
- Base issue Rs. 1000 Crore plus green shoe Rs. 250 Crore
What happened
The Debenture Allotment Committee approved the allotment of 125,000 Secured, Rated, Listed Redeemable Non-convertible Debentures (Series AE2026) on a private placement basis to identified investors.
Key terms
- Face value: Rs. 1,00,000 per debenture, issued at par
- Total subscription: Rs. 1250,00,00,000
- Base issue: Rs. 1000 Crore; green shoe: Rs. 250 Crore
- Fixed coupon: 7.95% p.a.
- Bidding done on the BSE Bond-EBP Platform
- Proposed listing: Wholesale Debt Market Segment of BSE Limited
What it means
As a non-banking finance company, Mahindra Finance regularly raises debt to fund its lending business. NCDs are borrowings, not equity, so there is no dilution for shareholders. The coupon of 7.95% indicates the cost at which the company is able to borrow in the current market. Being secured debentures, they are backed by charge on company assets, and the green shoe portion shows the issue drew subscription beyond the base size.
Also from Mahindra & Mahindra Financial Services
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2 Oct 2026
Board Meeting on 21st October 2026 to Consider Q2 FY2027 Unaudited Results
28 Sep 2026
ESOP Trust transfers 17,933 equity shares on exercise of vested stock options
25 Sep 2026
More numbers
- Number of NCDs allotted125,000
- Face value per debentureRs. 1,00,000
- Total subscription amountRs. 1250,00,00,000
- Base issue sizeRs. 1000 Crore
- Green shoe subscriptionRs. 250 Crore
- Fixed coupon7.95% p.a.
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