Piramal Finance Secures ₹2,950 Crore Through Bonds Offering Up to 9.25% Coupon

Piramal Finance, a non-banking financial company under the Piramal Group, has secured ₹2,950 crore by issuing bonds in 3 separate tranches. These bonds come with coupon rates ranging from 9.10% to 9.25%, as per news reports. The varied tranches provide flexibility in fundraising, allowing the company to attract a wider range of institutional investors.

Detailed Tranche Structure and Key Investors

The non-banking financial company (NBFC) arm of Piramal Enterprises raised ₹500 crore through bonds maturing in 22 months at a coupon rate of 9.10% per annum, payable annually. In addition, ₹2,050 crore was raised via 24-month bonds offering a 9.15% annual coupon, while another ₹400 crore was mobilised through 5-year bonds carrying a coupon of 9.25% per annum, also payable annually.

Although the NBFC had initially targeted up to ₹3,500 crore through a combination of base issue and greenshoe options, it ultimately retained ₹2,950 crore. Among the key investors, ICICI Prudential Mutual Fund anchored ₹300 crore of the total fundraise, while Kotak Mutual Fund, Larsen & Toubro Ltd, Nuvama Wealth Finance, and AK Capital Finance collectively anchored ₹165 crore.

Purpose of Fundraising

The capital raised is intended for multiple business objectives. Piramal Finance aims to utilise the proceeds for onward lending to retail and commercial borrowers, refinancing existing liabilities, and managing upcoming repayments. Additionally, part of the funds may be used for short-term investments, enhancing operational efficiency and cash flow management.

Piramal Finance, a wholly owned subsidiary of Piramal Enterprises, offers a variety of financial products and services, such as home loans, business loans, personal loans, or loans against property. This NBFC is categorised as an NBFC – Middle Layer

Read more: Piramal Enterprises Reports ₹485 Crore Profit in FY25, Eyes Growth with PFL Merger!

Piramal Enterprises Share Price Performance 

As of June 17, 2025, at 03:07 PM, Piramal Enterprises share price is trading at ₹1,127.60 per share, reflecting a decline of 2.02% from the previous day's closing price. Over the past month, the stock has surged by 2.13%. The stock's 52-week high stands at ₹1,275 per share, while its low is ₹848.25 per share.

Conclusion 

Piramal Finance’s ₹2,950 crore bond issuance reflects its prudent financial planning and strategic foresight. The capital infusion will aid in maintaining liquidity, expanding lending operations, and strengthening its balance sheet. This initiative marks another step forward in reinforcing its presence in the financial services landscape.

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