Muthoot FinCorp opens $74M debt sale at yields up to 9.25%
What's the deal? Muthoot FinCorpDealroom has a profile for this one. Try Dealroom → has launched the fifth tranche of its secured, rated and redeemable non-convertible debentures (NCDs), aiming to raise up to Rs 700 crore (about $74 million). The issue opened on September 8 and closes on September 22, 2026.
The terms: The NCDs offer effective annual yields of 8.89% to 9.25% across four tenures — 24, 36, 60, and 72 months — with a face value of Rs 1,000 each. The tranche comprises a base size of Rs 350 crore and a green shoe option of another Rs 350 crore, within an overall approved shelf limit of Rs 3,000 crore.
What's the endgame? The company said net proceeds will fund onward lending, repayment or prepayment of existing borrowings, and general corporate purposes.
Who's backing it? The NCDs carry ratings of CrisilDealroom has a profile for this one. Try Dealroom → AA/Stable and BWRDealroom has a profile for this one. Try Dealroom → AA+/Stable, which the company said indicate a high degree of safety for timely servicing of obligations. The securities are proposed to be listed on the debt market segment.
How to apply: Individual applications up to Rs 5 lakh must be made via UPI for fund blocking. Investors can also apply through self-certified syndicate banks and the stock exchange platform, or through the company's network of over 3,845 branches and its mobile app.
Chief executive officer Shaji Varghese said the series offers "a secured investment opportunity" and that participation is "made seamless through our extensive network."
The signal: Muthoot FinCorp, the flagship company of the Muthoot Pappachan GroupDealroom has a profile for this one. Try Dealroom →, operates 3,845 branches across 25 states and union territories as of June 30, 2026. Recurring NCD tranches like this let non-bank lenders tap retail investors directly for capital, offering high fixed yields at a time when such returns remain attractive to individual buyers.
Read more: economictimes.indiatimes.com
Image credit: Erik Charlton
