Considered and approved issue of 7500 (Seven Thousand Five Hundred Only) Unlisted Secured Redeemable Non-Convertible Debentures of face value of Rs. 1000/- (Rupees One Thousand Only) each ....
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
The board of Salem Erode Investments, held on September 23, 2025, approved the issue of 7,500 unlisted secured redeemable non-convertible debentures (NCDs) of Rs. 1,000 each, aggregating to Rs. 75 lakhs, via private placement. The NCDs will be issued at par in one or more tranches, with two tenure options: 36 months (with a monthly interest scheme offering 12% coupon, or a cumulative option) and 68 months (cumulative, doubling at maturity). The instruments are fully secured against current assets, loans and advances including gold loan receivables, with Vistra ITCL (India) as debenture trustee. The NCDs will not be listed on any stock exchange, and the company reported no history of default in interest or principal payments.
This is a small debt raise of just Rs. 75 lakhs, so it has minimal impact on existing shareholders, though the high 12% coupon rate suggests the company is paying a premium to attract lenders, which could indicate higher borrowing costs. Since these are non-convertible debentures, there is no dilution risk for equity shareholders.