Bajaj Finance has successfully completed a private placement of Secured Redeemable Non-Convertible Debentures (NCDs) worth Rs 2,069.5 crore. The issuance, split into two options with tenures maturing in 2029 and 2031, carries an annual coupon rate of 8.70%.
Bajaj Finance Allots Rs 2,069.5 Crore in Secured NCDs
Bajaj Finance has successfully concluded the allotment of Rs 2,069.5 crore in Secured Redeemable Non-Convertible Debentures (NCDs) through a private placement. The issuance involves 2,06,950 units, each with a face value of Rs 1 lakh, and carries an annual interest rate of 8.70%.
Reader Takeaway: The company effectively diversifies its liability profile; watch for impacts on the cost of funds.
What just happened
The company’s Debenture Allotment Committee met on October 30, 2026, to finalize the private placement. The issuance is divided into two tranches:
- Option I: Rs 807.5 crore across 80,750 NCDs maturing on December 7, 2029.
- Option II: Rs 1,262 crore across 1,26,200 NCDs maturing on October 30, 2031.
Why this matters
This capital raise is part of the company's routine asset-liability management strategy. By securing debt at a fixed rate of 8.70% over multi-year tenures, Bajaj Finance strengthens its liquidity position. The debentures are secured by a first pari-passu charge on the company's book debts and loan receivables, with a stipulated security cover of at least 1.00 times the outstanding value.
What to track next
Investors should monitor the company's overall interest coverage ratios and the impact of this issuance on the net interest margin (NIM) in upcoming quarterly earnings reports. The NCDs are proposed to be listed on the Wholesale Debt Market segment of the BSE.