Manappuram’s Global Note: Turning Local Lending into Worldwide Funding

Manappuram Finance Ltd, one of India’s leading non-banking financial companies (NBFCs), has announced its intention to convert its existing Euro Medium Term Note (EMTN) programme into a Global Medium Term Note (GMTN) programme. This strategic move marks a significant evolution in the company’s international fundraising capabilities, positioning it to tap into a broader and more diversified pool of global investors.

 

The announcement was made ahead of a scheduled board committee meeting on August 6, 2025, where the conversion plan is expected to be formally reviewed and approved.

 

What Is a Medium Term Note Programme?

 

A Medium Term Note (MTN) programme is a flexible debt issuance framework that allows companies to raise capital through notes with maturities typically ranging from 5 to 10 years. These programmes are often listed on international exchanges and can be tailored to suit investor preferences in terms of currency, interest rate structure, and maturity.

 

Euro MTN (EMTN): Primarily targets European investors and is governed by EU regulations.

 

Global MTN (GMTN): Broader in scope, allowing issuers to access capital markets across multiple jurisdictions including Asia, the Americas, and Europe.

 

By converting to a GMTN programme, Manappuram Finance will be able to issue debt instruments in multiple currencies and markets, thereby enhancing its financial agility and investor reach.

 

Details of the Existing Programme

 

Manappuram Finance’s current EMTN programme was established with a ceiling of USD 750 million. Under this framework, the company had already issued senior secured notes worth USD 300 million, in compliance with the Reserve Bank of India’s External Commercial Borrowing (ECB) guidelines3.

 

These notes are listed on the Global Securities Market segment of India International Exchange (India INX), located at GIFT City, Gujarat — India’s first International Financial Services Centre.

 

Key players involved in the existing EMTN programme include:

 

 

Why the Shift to a Global Programme?

 

The decision to upgrade to a GMTN programme reflects Manappuram’s ambition to become a more globally integrated financial institution. Several strategic benefits are expected:

 

Wider investor base: Access to institutional investors in North America, Asia-Pacific, and the Middle East

 

 

This move also aligns with India’s growing presence in global financial markets and the government’s push to internationalise Indian companies through platforms like India INX.

 

About Manappuram Finance Ltd

 

Founded in 1949 and headquartered in Kerala, Manappuram Finance is a diversified NBFC offering gold loans, microfinance, vehicle loans, and SME financing. It operates over 4,000 branches across India and has a strong digital lending footprint.

 

 

The company has consistently demonstrated prudent financial management and innovation in product offerings, making it a trusted name in India’s retail lending space.

 

What’s Next?

Following board approval, Manappuram is expected to file updated documentation with relevant regulatory bodies and exchanges. The GMTN programme will likely be structured to allow staggered issuances based on market conditions and funding needs.

 

Industry experts believe this move could set a precedent for other Indian NBFCs seeking global capital access, especially as interest in emerging market debt continues to rise.

 

Relevant Sources: Shardul Amarchand Mangaldas – Advisory on EMTN Update, SAM Law Firm – Official Announcement, ScanX