VEVikran Engineering544496NCD issuance

Committee approves allotment of secured NCDs aggregating ₹25 crore out of ₹50 crore issue

Committee has approved allotment of secured, unlisted NCDs worth ₹25 crore.

By ScoutQuest · Fri 30 Oct 2026, 6:54 PM IST · 2 min read

NCD Tranche 1 Allotment

₹25 crore out of total ₹50 crore issue

Coupon Rate

11.40% p.a., paid monthly

Face Value / Repayment

₹10,00,000 each; 95% due 30 Jan 2027, 5% on 14 Nov 2027

What happened

The Corporate Affairs Committee, which is authorised by the board, approved the issuance of secured, unrated, unlisted, redeemable, taxable, non-convertible debentures on 29th October 2026. The next day, on 30th October 2026, the same committee approved the allotment of Tranche 1 aggregating to ₹25,00,00,000 (Rupees Twenty-Five Crores only), out of a total issue size of ₹50,00,00,000 (Rupees Fifty Crores only).

The debentures have a face value of ₹ 10,00,000 (Rupees Ten Lakh) each, are denominated in Indian Rupees and are to be issued in dematerialised form on a private placement basis. The overall issue is to be made in one or more tranches.

Terms of Tranche 1

• Fixed coupon rate of 11.40% p.a., with interest paid monthly
• Date of allotment: 30th October 2026; date of maturity: 14th November 2027
• Principal repaid in two parts: 95 Percent (95%) on 30th January 2027 and 5 Percent (5%) on 14th November 2027
• The instrument is secured, with a charge created over the assets
• The debentures are not proposed to be listed on any stock exchange
• No special rights, interests or privileges are attached to the instrument

What this means for a retail investor

• NCDs are a borrowing instrument. The company receives money now and must pay interest every month plus repay the principal on the scheduled dates. Because this is debt, it does not dilute the stake of existing equity shareholders.
• The coupon of 11.40% p.a. is the cost the company pays for this money, so it works out as a recurring cash outflow until the debentures are redeemed.
• The repayment is heavily front-loaded. 95% of the principal falls due on 30th January 2027, roughly three months after the 30th October 2026 allotment, with the balance 5% on 14th November 2027.
• The debentures are unrated, unlisted and were placed privately, which means they are not offered to retail investors through the exchanges.
• The instrument is secured, so a charge is created over the company's assets in favour of the debenture holders.

Points to keep in view

• The total approved issue is ₹50 Crores; Tranche 1 accounts for ₹25 Crores, and the disclosure states the issuance is to be made in one or more tranches.
• The update records that there has been no delay in payment of interest or principal beyond three months from the due date, and no letter or comment on payment or non-payment has been received.
• No cancellation or termination of the proposal for issuance of securities has been reported.

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