Edelweiss Financial Services announces ₹ 200 crore Public Issue of Secured Redeemable Non-Convertible Debentures (NCDs)

Edelweiss Financial Services announces ₹ 200 crore Public Issue of Secured Redeemable Non-Convertible Debentures (NCDs)

 

➢ Effective Yield of up to 9.95% per annum*

➢ CARE A+; (Single A Plus; Outlook: Stable) from CARE Ratings Limited and BWR AA-/Stable (Assigned)from Brickwork Ratings India Private Limited

➢ Trading in dematerialized form only

➢ Allotment on first cum first serve basis

 

Mumbai, December 21, 2020: Edelweiss Financial Services Limited (EFSL), the parent arm of the Edelweiss Group, today announced the public issue of Secured Redeemable Non-Convertible Debentures (NCDs) of a face value of ₹1,000 each, amounting to ₹ 100 crores (“Base Issue”), with an option to retain over-subscription up to ₹ 100 crores aggregating to a total of ₹ 200 crores (“Issue”).

 

The NCDs offer an effective yield (cumulative) of 9.95% p.a. for 120 months tenure, 9.35% p.a. for 36 months tenure and up to 9.80% p.a. for 60 months tenure. 75% of the funds raised through this Issue will be used for the purpose of repayment /prepayment of interest and principal of existing borrowings of the Company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the Issue, in compliance with the Securities and Exchange Board of India (Issue And Listing Of Debt Securities) Regulations, 2008 as amended (“SEBI Debt Regulations”).

 

An additional incentive maximum of 0.20% p.a. will be offered for all Category of Investors in the proposed Issue, who are also holders of NCD(s)/Bond(s) previously issued by our Company, and/ or our group company, ECL Finance Limited, Edelweiss Housing Finance Limited, Edelweiss Retail Finance Limited and Edelweiss Finance & Investments Limited as the case may be,  and/or are  equity  shareholder(s)  of  Edelweiss Financial Services Limited (“EFSL”) as the case may be, on the deemed date of allotment.

CARE Ratings Limited has rated the offering “CARE A+; (Single A Plus; Outlook: Stable)” and Brickwork Ratings India Private Limited has rated it as “BWR AA-/Stable (Assigned)”

 

Equirius Capital Private Limited is the Lead Manager of this NCD issue. The Issue opens on December 23, 2020 and closes on January 15, 2021 with an option of early closure**. The NCDs will be listed on BSE Limited to provide liquidity to the investors.