MUMBAI:
Shriram Transport Finance Company Ltd (STFC), India’s largest asset financing NBFC which has an AUM of Rs. 1 Lakh crore and undoubted leader in commercial vehicle finance, received a stupendous response to its Rs 300 crore NCD issue from retail investors. The offer was oversubscribed 2.23 times on its closing day.
STFC received the bids for Rs 661 crore in overall subscription as per data available on the electronic platform of BSE and NSE Ltd on Monday, Oct 29, the last day for applying for secured non-convertible debentures. Retail investors applied enthusiastically with their portion getting oversubscribed by 4.67 times shows an extremely confident investor base of Shriram. Also, the HNI category registered good subscription.
Umesh Revankar, MD & CEO, STFC said, “The retail and HNI category had 80 percent of the issue. We are very delighted and thankful to our investors for their unwavering support and continued trust in us. The NCDs help the company to have long term funds and diversify the borrowings as well.”
The funds raised through this Issue will be used for onward lending, and for repayment/ prepayment of interest and principal of existing borrowings of the Company and for general corporate purposes. The issue is rated ‘CRISIL AA+/Stable’ by CRISIL and ‘IND AA+: Outlook Stable’ by India Ratings and Research. These ratings indicate high degree of safety regarding timely servicing of financial obligations and carry very low credit risk. The NCDs are proposed to be listed on BSE Limited and NSE Limited.
