Regency Fincorp540175NCD issuance

Board approves private placement of 45,000 secured, listed NCDs of INR 45,00,00,000

Board approved issue of 45,000 Secured, Rated, Listed, Non-Convertible Debentures (NCDs) of face value INR 10,000 each, aggregating INR 45,00,00,000 on private placement basis.

By ScoutQuest · Tue 13 Oct 2026, 1:21 PM IST · 2 min read

NCD Issue Size: 45,000 Secured, Rated, Listed NCDs of face value INR 10,000 each, aggregating INR 45,00,00,000
Interest Rate: 13.00% per annum payable monthly
Tenor: 36 months

Regency Fincorp's board has considered and approved a proposal to raise funds through debentures. Here is what was approved and what the terms mean.

What the board approved

45,000 Secured, Rated, Listed, Non-Convertible Debentures (NCDs), each of face value INR 10,000.
Total amount aggregating to INR 45,00,00,000.
Issued on a private placement basis.
Base issue of INR 15,00,00,000.
Green shoe option of INR 30,00,00,000.

The terms attached to the debentures

Interest offered: 13.00% per annum, payable monthly.
Tenor: 36 months from the deemed date of allotment.
Security cover ratio: 1.35x of the amounts outstanding under the debentures.
Principal is repaid in instalments during the tenor, with the balance at maturity.
Special rights or privileges attached to the instrument: None.
Proposed to be listed: Yes, on BSE Limited.

Who has been appointed

Catalyst Trusteeship Limited as Trustee for the issue of the debentures.
Horizon Management Pvt Ltd as Merchant Banker for the issue of the debentures.

What these terms mean in plain words

An NCD is a debt instrument. The company borrows money, pays interest on it, and does not give shares in return. "Secured" means a charge is created over assets as backing for the issue; "rated" means a credit rating has been assigned; "listed" means the debentures are proposed to be traded on an exchange. A private placement means the debentures are placed with select investors rather than offered to the general public.

A green shoe option is a facility to retain or issue extra debentures over and above the base size if there is demand. Here the green shoe portion is INR 30,00,00,000, larger than the base issue of INR 15,00,00,000.

The security cover ratio of 1.35x is the level of cover the company is to maintain in relation to the amounts outstanding under the debentures.

What happens next

The board has approved the issuance. The allotment of the NCDs is to be done after closure of the bidding time, on the settlement date, through an Electronic Book Provider, and the debentures are proposed to be listed on BSE Limited.

How to read this

A debenture issue is a borrowing. It brings money into the company and creates an obligation to pay interest at 13.00% per annum and to repay principal over 36 months. The appointments of a trustee and a merchant banker are the supporting steps that go with such an issue.

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