Muthoot Finance Limited NCD
Muthoot Finance Ltd (MFL) is the largest gold financing company in India in terms of loan portfolio. The company provides personal and business loans secured by gold jewellery, or Gold Loans, primarily to individuals who possess gold jewellery but could not access formal credit within a reasonable time, or to whom credit may not be available at all, to meet unanticipated or other short-term liquidity requirements.
Muthoot is a ‘Systemically Important Non-deposit taking NBFC’ headquartered Kerala. In addition to Gold Loans, the company is also engaged in money transfer services through its branches as sub-agents of various registered money transfer agencies, and have commenced providing collection agency services. It also operates three windmills in the state of Tamil Nadu.
Objective of NCD Muthoot Finance Limited NCD:
Objective of Muthoot Finance Limited NCD are:
a) For the purpose of lending- 75% of the amount raised and allotted in the Tranche I Issue
b) For General Corporate Purposes- 25% of the amount raised and allotted in the Tranche I Issue
Muthoot Finance Limited NCD Details:
| Open Date: | Apr 09 2018 |
| Close Date: | May 08 2018 |
| Issue Type: | Fixed Price Issue NCD |
| Issue Size: | ₹ 3,000 Cr. |
| Face Value: | ₹ 1000 Per NCD |
| Market Lot: | 1 NCD |
| Minimum Order Quantity: | 10 NCD |
| Listing At: | BSE |
Promoters:
Promoters of Muthoot Finance Limited Company are:
1. M G George Muthoot
2. George Alexander Muthoot
3. George Thomas Muthoot
4. George Jacob Muthoot
Credit Rating:
This issue is rated ICRA AA/Stable and CRISIL AA/Stable. The rating of the Secured NCDs and Unsecured NCDs by ICRA and CRISIL indicates high degree of safety regarding timely servicing of financial obligations.
Interest Rates:
NCDs have tenure of 400 days, 18 months, 24 months, 38 months and 60 months. It offers coupon rates ranging from 8.15% to 9% based on the tenure and the interest payment options.
Post Tax returns:
The interest earned through NCDs will be added to the total income and will be taxed at 10%, 20% and 30% respectively depending upon the income slab.
Recommendation:
Muthoot Finance Limited NCD Rating by InvestorZone team => 6/10
1-5: Fair
5-7: Good
7-10: Excellent
Lead Manager of Muthoot Finance Limited NCD:
- A. K. Capital Services Limited
- Edelweiss Capital Limited
Registrar of Muthoot Finance Limited NCD:
- Link Intime India Private Limited
Discussion on Muthoot Finance Limited NCD:
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How can I know the interest accumulated for the NCD & IT deducted
Ask the registrar.