LIC-backed non-banking financial company (NBFC) Paisalo Digital has announced the allotment of non-convertible debentures (NCDs). The firm, in an exchange filing, said that its operations and finance committee of the board of directors has approved the allotment of rated, listed, senior, secured, redeemable, taxable NCDs or debentures on a private placement basis.
5000 non-convertible debentures allotted
The company has stated that the committee has allotted 5000 non-convertible debentures. The face value of each NCD is Rs 1 lakh.
Tenure of NCDs
As per the information shared, the issued non-convertible debentures have a tenure of 24 months. Also, the coupon/interest offered on these NCDs has been fixed at 10 per cent per annum. The coupon payment frequency is monthly.
"The NCDs shall be secured by way of a first ranking pari-passu charge on loan receivables to maintain the value of security at all times equal to 1.10 times the aggregate amount of principal outstanding of the NCDs," the company said in the exchange filing.
According to trendline data, state-owned LIC has a 1.9 per cent stake in the company. Besides, SBI Life Insurance owns a 9.4 per cent stake in the NBFC.
Undertakes transactions worth over Rs 3,400 cr in 2 years
The NBFC recently said it has serviced over 59 lakh customers by initiating transactions worth more than Rs 3,400 crore.
Paisalo Digital said in a statement that this has been achieved within two years with its strong network of business correspondents’ collaborations with prominent banking partners, including the State Bank of India (SBI) and the Bank of India.
The company said it demonstrates its commitment to financial inclusion by leveraging technology and robust partnerships with leading financial institutions to provide seamless banking facilities to India's under-banked population.
With PTI inputs