UGROCAPNSEUgro Capital LimitedMediumNeutral
Announced Wed, 11 Mar · 19:48 IST

Intimation of issuance of NCDs on private placement basis

Fund Raising View source PDF

UGROCAP · price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Ugro Capital's Investment and Borrowing Committee approved the issuance of NCDs and foreign currency bonds on a private placement basis across four tranches. The first two tranches are listed, rated, senior, secured, redeemable NCDs aggregating up to ₹300 crores (₹200 cr + ₹100 cr with green shoe options), with coupons of 9.50% (13-month tenure) and 9.75% (24-month tenure). The third tranche consists of unsecured, subordinated, listed NCDs worth up to ₹65 crores with a 9.75% coupon and up to 72-month tenure. The fourth tranche is a USD-denominated ECB (External Commercial Borrowing) of up to USD 20 million at 6-month SOFR + 300 bps, with a 48-month tenure. Allotment dates range from March 18 to March 27, 2026. The total potential raise is approximately ₹365 crores plus USD 20 million, likely to fund the NBFC's lending operations.

Likely market impact

This is a routine debt-raising exercise for the NBFC, diversifying funding through a mix of short-term secured NCDs, long-term subordinated debt (which may count as Tier-II capital), and offshore borrowings. Coupon rates of 9.50-9.75% are in line with current NBFC borrowing costs and should not materially pressure margins. No equity dilution since these are non-convertible instruments, but shareholders should note the rising leverage and interest obligations.