Mumbai, Jan 18 (IANS) Non-banking finance company (NBFC) India Infoline Finance Ltd (IIFL Finance) will shortly open a bond's public issue on January 22 to raise up to Rs 2,000 crore for funding business growth and expansion, its parent firm IIFL Holdings said on Friday.
The UK-based CDC Group-backed IIFL Finance will issue secured and unsecured redeemable non-convertible debentures aggregating Rs 250 crore with a green-shoe option to retain over-subscription up to Rs 1,750 crore, amounting to a total of Rs 2,000 crore, a statement said
"The IIFL Bonds offer highest annual yield of 10.50 per cent for individual and other categories, and 10.35 per cent for the institutional category, for a tenor of 120 months with frequency of monthly and annual payment. The other tenors offered are for 39 and 60 months," it said.
"Crisil has rated the instrument as AA/Stable, which indicates that the instruments are considered to have a high degree of safety for timely servicing of financial obligations and carry very low credit risk."
Commenting on the development, IIFL Finance CEO Sumit Bali said: "Through our strong physical presence of 1,755 branches across India and a well-diversified portfolio, we are able to meet the credit requirement of various segments of underserved population. The funds raised will help us in expanding our operation in more such areas."
For the previous half-year ended September 30, IIFL Finance's net profit stood at Rs 357.2 crore, posting a growth of 69 per cent year-on-year, the statement added.
According to the company, retail loans, including home loans and small business finance constitute 85 per cent of its loan book.
The Mumbai-headquartered IIFL Holdings was featured in the US magazine Forbes' list of "India's Super 50 Companies in 2017", the company said.
(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)
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