Financing the Future: Mufin Turns to Debentures

Mufin Green Finance explores debt route to fuel growth  
Mufin Green Finance Ltd (MUFI.NS), a non-banking financial company focused on sustainable lending, has disclosed plans to evaluate fundraising through debentures. The proposal, set to be discussed in an upcoming board meeting, reflects the company’s strategy to diversify funding sources and reinforce its balance sheet amid rising demand for green finance.  

Debentures, a common debt instrument, allow companies to raise capital without diluting equity, offering flexibility in structuring repayment terms. For Mufin, this step is expected to provide liquidity for expanding its loan book, particularly in renewable energy projects, electric mobility financing, and other sustainability-linked initiatives. The company has been actively scaling its presence in India’s clean energy ecosystem, aligning with national climate goals.  

Major takeaways  

• Board to consider fundraising via issue of debentures  
• Move aimed at strengthening capital base and liquidity  
• Funds to support renewable energy and electric mobility financing  
• Debentures provide non-dilutive capital raising option  
• Part of broader strategy to expand sustainable lending portfolio  

Sources: Reuters, BSE India, Moneycontrol