UGRO Capital Approves ₹500 Crore NCD Issuance Through Private Placement

UGRO Capital announced on December 16, 2025, that its Investment and Borrowing Committee has approved the issuance of non-convertible debentures (NCDs) through private placement. The total size of the proposed issuance is up to ₹500 crore, comprising listed, rated, senior, secured and unsecured, transferable, redeemable instruments.

The committee has set a base issue size of ₹200 crore, with an option to retain oversubscription of up to ₹300 crore under a green shoe option. The issuance will be carried out in one or more tranches, subject to final terms agreed with investors.

Structure And Series Details

The NCDs will be issued across four series, each with a base issue size of up to ₹50 crore. Series 1, Series 3 and Series 4 will carry a green shoe option of up to ₹150 crore each, while Series 2 will have a green shoe option of up to ₹50 crore.

This structure provides flexibility for investor participation across different tenures and risk profiles. All debentures will be listed on the BSE, ensuring transparency and liquidity for holders.

Tenure And Maturity Timelines

Series 1, Series 2 and Series 4 are proposed to have a tentative tenure of 24 months, while Series 3 will have a shorter tenure of 13 months. The tentative date of allotment for all four series is December 24, 2025.

Maturity dates are scheduled for December 24, 2027, for Series 1, Series 2 and Series 4, and January 24, 2027, for Series 3. This staggered structure allows UGRO Capital to manage its borrowing profile effectively while catering to varied investor preferences.

Security And Coupon Structure

Series 1, Series 2 and Series 3 will be secured, while Series 4 will be unsecured, offering investors a choice based on risk appetite. Interest on the debentures will be payable quarterly, with redemption at par on the respective maturity dates, subject to early redemption as per issuance terms.

The coupon rate for Series 2 is tentatively set at 9.75%, while rates for the other series will be finalised later. This approach ensures competitive pricing aligned with market conditions.

Read More: KSH International Raised ₹35 Crore in Pre-IPO Placement.

Conclusion

UGRO Capital’s approval of a ₹500 crore NCD issuance reflects its strategy to diversify funding sources and strengthen its capital structure. The multi-series format, combined with secured and unsecured options, provides flexibility for investors and supports the company’s growth plans.

With allotment scheduled for December 24, 2025, and listing on the BSE, the issuance is expected to attract institutional interest. Final terms, including coupon rates for remaining series, will be announced closer to the allotment date.

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.