Loan & Debt7 May 2026, 04:51 pm
M&M Financial Services: NCD Issuance up to ₹1000 Cr
AI Summary
Mahindra & Mahindra Financial Services Ltd's Debenture Issuance Committee approved the issuance of secured, rated, listed, redeemable non-convertible debentures on a private placement basis, within approved borrowing limits. The issuance is for up to 100,000 NCDs, totaling up to ₹1000 Crore, including a green shoe option of ₹250 Crores over a base issue of ₹750 Crores. The NCDs, with a face value of ₹1,00,000 each, have a tenure of 1 year and 285 days (650 days) from the deemed allotment date of May 12, 2026, maturing on February 21, 2028, and offer a fixed coupon of 7.90% p.a.
Key Highlights
- M&M Financial Services to issue secured, rated, listed, redeemable NCDs via private placement.
- The NCD issuance is capped at ₹1000 Crore, including a ₹250 Crore green shoe option.
- NCDs offer a fixed coupon of 7.90% p.a. with maturity on February 21, 2028.
- Debentures are secured by a charge on receivables under Loan contracts/Hire Purchase/Lease.
- In case of default, an additional interest of 2% p.a. over the coupon rate will be payable.
Price Impact
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