On June 18, 2025, the Executive Committee of the Board of Aavas Financiers Ltd approved a plan to raise up to ₹200 crore through a private placement of non-convertible debentures (NCDs). The approval comes under the authority granted by the company’s shareholders at the 14th Annual General Meeting held in August 2024.
The issuance will involve up to 20,000 senior, secured, rated, listed, transferable, and redeemable NCDs. Each debenture will carry a face value of ₹1,00,000. The total nominal value of the issue stands at ₹200 crore.
The debentures will have a tenor of 60 months from the deemed date of allotment. Interest payments will be made quarterly. The principal repayment will be spread across 20 equal quarterly instalments of ₹5,000 per debenture. These repayments will start from the date of allotment and continue until the end of the 60-month term.
The NCDs are proposed to be listed on the Wholesale Debt Market (WDM) segment of BSE Limited. The issue is in accordance with the Companies Act, 2013 and SEBI’s regulations governing non-convertible securities and listing obligations.
The NCDs will be backed by a first-ranking exclusive charge over specific loan receivables of the company. The receivables will cover at least 110% of the total amount due, including both principal and interest.
Read more: Aavas Financiers Q4 Profit Jumps 8% to ₹153.7 Cr; Loan Book Crosses ₹1.6 Lakh Cr!
As of 12:31 PM on June 19, 2025, Aavas Financiers’ share price was trading at ₹1,837.70, a 0.82% increase; the stock has increased 9.00% over the past 6 months and declined 5.44% over the past year.
The company is proceeding with a ₹200 crore NCD issuance, adding to its funding avenues through secured debt instruments under existing shareholder approvals.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Jun 19, 2025, 1:13 PM IST
Team Angel One
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