Edelweiss Financial Services announces ₹ 4,000 million Public Issue of Secured Redeemable Non-Convertible Debentures (NCDs)
by Prashant Kapadia/NHN
➢ Effective Yield of up to 10.46 % per annum
➢ Credit Rating: “CRISIL AA-/Negative (pronounced as CRISIL double A minus rating with Negative outlook)” and “ACUITE AA-/Negative” (pronounced as ACUITE double A minus)
➢ Trading in dematerialized form only
➢ Allotment on date priority basis i.e. on first come first serve basis, based on the date of upload of each application into the electronic system of the Stock Exchange, in each Portion subject to the Allocation Ratio.
Mumbai, January 2, 2023: Edelweiss Financial Services Limited (“EFSL”), today announced the public issue of Secured Redeemable Non-Convertible Debentures (“NCDs”) of the face value of ₹1,000 each, amounting to ₹ 2,000 million (“Base Issue”), with an option to retain over-subscription up to ₹ 2,000 million aggregating to ₹ 4,000 million (“Tranche I Issue”).
There are ten series of NCDs carrying fixed coupon and having tenure of 24 months, 36 months, 60 months and 120 months with annual, monthly and cumulative interest option. Effective annual yield for NCDs ranges from 8.99% to 10.46%*.
At least 75% of the funds raised through this Issue will be used for the purpose of repayment /prepayment of interest and principal of existing borrowings of the Company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization 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 (“SEBI NCS Regulations”).
An additional incentive of 0.20% p.a. will be offered for all Category of Investors in the proposed Tranche I Issue, who are also holders of NCD(s)/Bond(s) previously issued by our Company, and/ or our group company, ECL Finance Limited, Nuvama Wealth & Investment Limited, Edelweiss Housing Finance Limited, Edelweiss Retail Finance Limited and Nuvama Wealth Finance Limited as the case may be, and/or are equity shareholder(s) of the Company as the case may be, on the deemed date of allotment.
The NCDs proposed to be issued under this Tranche I Issue have been rated “CRISIL AA-/Negative (pronounced as CRISIL double A minus rating with Negative outlook)” and “ACUITE AA-/Negative” (pronounced as ACUITE double A minus).
Equirus Capital Private Limited is the Lead Manager of this NCD issue. The Tranche I Issue opens on Tuesday, January 3, 2023 and closes on Monday, January 23, 2023 with an option of early closure**. The NCDs will be listed on BSE Limited to provide liquidity to the investors.
About Edelweiss Financial Services Limited:Edelweiss Financial Services Limited (“EFSL”), was incorporated on November 21, 1995 under the name Edelweiss Capital Limited and started operations as an investment banking firm after receipt of a Category II license from SEBI. Edelweiss Capital Limited subsequently received a Category I Merchant Banker license from SEBI with effect from October 16, 2000. The name of Edelweiss Capital Limited was changed to ‘Edelweiss Financial Services Limited’ with effect from August 1, 2011.
EFSL was listed in December 2007 under the symbols NSE: EDELWEISS and BSE: 532922. Its Corporate Identity Number is L99999MH1995PLC094641.
After commencing the business as an investment banking firm, EFSL through its subsidiaries has now diversified its businesses to include credit including retail and corporate credit, asset management, asset reconstruction insurance including life and general insurance businesses, and wealth management, which are conducted through its subsidiaries. Its research driven and client-centric approach and consistent ability to capitalise on emerging market trends has enabled it to foster strong relationships across corporate, institutional (both domestic and international), high net worth individuals and retail clients. It has a pan-India and international network with approximately 237 domestic offices, and three international offices (total 240) offices and employed approximately 5,955 employees as at September 30, 2022, excluding EWM offices and employees. Our group comprises 28 subsidiaries and 10 associate companies as at September 30, 2022.
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