IIFL Finance Limited has informed the exchanges that the Finance Committee of the Company has approved the allotment of 50,00,000 Non-Convertible Debentures on public issue basis.
Awaiting price reaction for this filing.
IIFL Finance's Finance Committee approved the allotment of 50 lakh secured, rated, listed, redeemable non-convertible debentures (NCDs) of face value ₹1,000 each, aggregating ₹500 crores. This is Tranche I of a shelf limit of ₹2,500 crores, issued via public issue that opened on April 7, 2025, and closed early on April 11, 2025. The NCDs carry credit ratings of Crisil AA/Stable and ICRA AA (Stable), and are secured by a first-ranking pari-passu charge on the company's receivables. Coupons range from 9.00% to 10.25% per annum across 9 series, with tenures spanning 15 months to 60 months.
The successful ₹500 crore NCD raise (with early closure indicating strong investor demand) strengthens IIFL Finance's funding base for lending operations at AA-rated borrowing costs. There is no equity dilution since these are non-convertible debt instruments, though existing shareholders should note the company's rising debt servicing obligations over the next 1–5 years.