Edelweiss Financial Services Limited has launched a public issue of Secured Redeemable Non-Convertible Debentures (“NCDs”) with a face value of ₹ 1,000 each. The Base Issue Size is up to ₹ 1,000 million, with a green shoe option of up to ₹ 1,000 million, totalling up to ₹ 2,000 million (“Issue Limit”).
The issue has 12 series of NCDs with fixed coupons and tenures of 24 months, 36 months, 60 months, and 120 months, as well as annual, monthly, and cumulative interest options. Series IX and XII also offer staggered redemption options. The effective annual interest return on NCDs is between 9.50% and 11.00%.
At least 75% of the funds raised through the Issue will be used for repayment/prepayment of interest and principal of the Company’s existing borrowings, and the balance amount will be utilised for general corporate purposes, subject to such utilisation not exceeding 25% of the amount raised in the Issue, in compliance with the Securities and Exchange Board of India (Issue and Listing of Non-Convertible Securities) Regulations, 2021, as amended from time to time.
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The NCDs proposed to be issued under the Issue have been rated “CRISIL A+/ Watch Negative (placed on ‘Rating Watch with Negative Implications’) by CRISIL Ratings Limited. Securities with these ratings are considered to have adequate degree of safety regarding timely servicing of financial obligations. Such securities carry low credit risk”.
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