The proposed issue will consist of 5,000 debentures of Rs 1 lakh face value each. The base size will be Rs 25 crore, while there will be an option to retain oversubscription of an additional Rs 25 crore, taking the total amount to Rs 50 crore.
Mumbai: NBFC firm Paisalo Digital, which is backed by state-run LIC and SBI Life Insurance, has informed exchanges that its operations and finance committee of board of directors has approved the issuance of non-convertible debentures (NCDs) to raise up to RS 50 crore. The issue will be made through private placement on the Electronic Book Provider (EBP) platform.
The proposed issue will consist of 5,000 debentures of Rs 1 lakh face value each. The base size will be Rs 25 crore, while there will be an option to retain oversubscription of an additional Rs 25 crore, taking the total amount to Rs 50 crore.
“Upto 5,000 Non-Convertible Debentures each having a face value of Rs. 1,00,000/- (Rupees One Lakh only) aggregating upto Rs. 50,00,00,000/- (Rupees Fifty Crores Only) inclusive of Base Issue of ₹ 25,00,00,000 (Rupees Twenty Five Crores only) with an option to retain over-subscription (Green Shoe Option) upto ₹ 25,00,00,000 (Rupees Twenty Five Crores Only),” the company said in a filing.
The debentures will carry a coupon rate of 10 per cent per annum, and interest will be paid monthly. The principal will be repaid at face value on maturity of 24 months. The debentures will be listed on the BSE.
The tentative allotment date for the issue is May 22, 2025, subject to regulatory approvals. The issue will be secured through a charge based on first-rate pari-passu hypothecated receivables with a minimum security cover of 1.10 times.
According to data available on trendline data, LIC owns 1.9 per cent stake in Paisalo Digital. Besides, SBI Life Insurance owns 9.4 per cent stake in the NBFC.
Earlier, the company said it has serviced over 59 lakh customers by initiating transactions worth more than Rs 3,400 crore.
This has been achieved within two years with its strong network of business correspondents’ collaborations with prominent banking partners, including State Bank of India (SBI) and Bank of India, Paisalo Digital said in a statement.
