Navi Finserv plans to raise up to ₹600 crore via NCDs

Posted on by

Navi Finserv Ltd (NFL) is planning to raise up to ₹600 crore via non-convertible debentures (NCDs), offering effective yields ranging from 10.47 per cent to 11.19 per cent per annum, depending on the tenor.

The non-banking finance company’s (NBFC) bond issue comprises a base issue size of ₹300 crore and a greenshoe option of up to ₹300 crore.

“The secured, rated, listed NCDs will have tenors of 18, 27, and 36 months and offer effective yields ranging from 10.47 per cent to 11.19 per cent per annum.

“The funds raised through the new bond issue will be used for onward lending, financing, loan repayment, and general corporate purposes,” the NBFC, which is a wholly owned subsidiary of Navi Technologies Ltd (NTL), said in a statement. NTL is a technology-driven financial products and services company.

Sachin Bansal, Executive Chairman & CEO, Navi Finserv Ltd, noted that company raised over ₹950 crore cumulatively through two issuances of secured, rated, listed, and redeemable NCDs in the past two years.

“The funds raised through this (issuance) will be used for onward lending, financing, loan repayment, and other general corporate purposes,” he said.

NFL’s third public debt issue goes live on February 26. The company raised ₹495 crore in FY2023 and ₹481 crore in FY2024.