Poonawalla Fincorp Ltd has announced plans to raise up to 5 billion rupees through the issuance of non-convertible debentures (NCDs). The move aims to strengthen the company’s funding base, support lending operations, and enhance financial flexibility in India’s growing non-banking financial sector.
Poonawalla Fincorp Ltd, a leading non-banking financial company (NBFC), has unveiled its plan to issue non-convertible debentures worth up to 5 billion rupees. The capital raised will be utilized to expand lending operations, diversify funding sources, and reinforce the company’s balance sheet. NCDs, being fixed-income instruments, provide investors with stable returns while enabling the company to secure long-term financing.
The issuance reflects Poonawalla Fincorp’s strategy to strengthen its financial position and meet rising credit demand across retail and SME segments. With India’s NBFC sector playing a crucial role in financial inclusion, the move is expected to boost the company’s growth trajectory and investor confidence.
Key highlights from the announcement include
-
Poonawalla Fincorp to issue NCDs worth up to 5 billion rupees.
-
Funds to be used for expanding lending operations and strengthening balance sheet.
-
NCDs offer investors fixed returns and long-term investment security.
-
Move aligns with company’s strategy to diversify funding sources.
-
Expected to enhance financial flexibility and support growth in retail and SME lending.
Industry experts note that the issuance of NCDs will help Poonawalla Fincorp tap into investor appetite for stable returns while ensuring sustainable growth in India’s competitive NBFC landscape.
Sources: Economic Times, Business Standard, Moneycontrol