Unifinz Capital India Issues ₹45 Crore in Debt

Unifinz Capital India Limited plans to issue 45,000 non-convertible debentures (NCDs) totaling ₹45 crore in face value.

Company Boosts Debt Capital

Unifinz Capital India's Finance Committee has greenlit the allotment of 45,000 NCDs, amounting to ₹45 crore. These are described as listed, rated, senior, secured, taxable, transferable, and redeemable instruments issued via private placement.

The debentures offer a fixed 13% annual interest rate over a 24-month tenure. They are scheduled for allotment on May 20, 2026, and will mature on May 20, 2028. The NCDs are secured by identified book debts, with a security coverage ratio of 1.20 times. The issue has secured a credit rating of BBB-/Stable.

Investor Returns and Company Financing

This issuance allows Unifinz Capital India to raise an additional ₹45 crore in debt capital. Investors will receive a guaranteed 13% annual return over two years, backed by company assets and a stable credit rating.

Background on NCD Issuance

Unifinz Capital India operates in financial services. Issuing NCDs is a standard practice for companies to secure funds for growth, operational needs, or to manage existing debt.

Impact on Balance Sheet

The company's debt will increase by ₹45 crore, which will be reflected on its balance sheet. The NCDs will be listed on the BSE's Wholesale Debt Market segment, offering investors a platform for trading.

Potential Risks

A key risk highlighted is that failure to pay interest or principal for more than three months could result in an additional 4% annual interest over the base rate, as per the company's filing.

Key Details

• Number of Debentures: 45,000
• Total Value: ₹45 crore
• Interest Rate: 13% per annum
• Tenure: 24 months
• Allotment Date: May 20, 2026
• Maturity Date: May 20, 2028
• Credit Rating: BBB-/Stable

Next Steps for Investors

Investors are advised to track the NCD listing on the BSE Wholesale Debt Market and monitor Unifinz Capital India's ability to manage its debt obligations.