Regency Fincorp Raises Rs 50 Crore via NCD Issuance

Total Issue Size: Rs 50 crore.
Coupon Rate: 13.00% per annum.

Reader Takeaway: The company secured Rs 50 crore for growth with a 1.35x asset cover, though high interest rates persist.

What just happened

Regency Fincorp Limited has officially allotted 50,000 listed, secured, rated, redeemable Non-Convertible Debentures (NCDs) on a private placement basis. The allotment, approved by the Company's Allotment Committee on August 27, 2026, totals Rs 50 crore. The funds were sourced from three identified entities: Sunrise Gilts and Securities Private Limited, Eshiruss Financial Consultants Private Limited, and Infixin Technologies Private Limited.

Key Issuance Terms

The NCDs carry a face value of Rs 10,000 each and will mature on August 27, 2029, representing a 36-month tenor. The instruments offer an annual coupon rate of 13%. The repayment schedule dictates that the principal will be redeemed in five equal installments of 20% each, starting from the 32nd month through the 36th month.

Security and Risks

To safeguard investors, the company has provided a 1.35x asset cover based on secured receivables, specifically focusing on MSME and digital lending loan portfolios with zero days past due (0 DPD) status. A penalty clause is also in place; if interest or principal payments are delayed by more than three months beyond the due date, an additional 3% per annum interest will be charged to the company.