Stitching Gains: Himatsingka Spins ₹100 Crore via Series “B” NCDs

Updated: December 12, 2025 21:05

Image Source: The Hindu Business Line

Himatsingka Seide Limited approved the issue of ₹100 crore worth of Series “B” secured NCDs via private placement. The unlisted, unrated instruments carry an 11% annual coupon and a 39-month tenure, secured by company assets at its Hassan and Doddaballapur plants to enhance financial flexibility and debt management.

Home textile major Himatsingka Seide Limited has approved the issuance of 1,000 Series “B” Non-Convertible Debentures (NCDs) aggregating ₹100 crore, as per a filing with the National Stock Exchange (NSE) dated December 12, 2025. The funds will be raised through a private placement route aimed at optimizing the company’s debt structure and funding strategic financial needs.

The unrated, unlisted, senior, secured, redeemable, and transferable NCDs carry a coupon rate of 11% per annum, payable quarterly. The instruments come with a tenure of up to 39 months, including a 12-month moratorium, followed by 10 quarterly instalments for principal repayment along with the applicable redemption premium.

Notable Updates

- Issue size: ₹100 crore through 1,000 Series “B” NCDs at ₹10 lakh each.

- Type: Unlisted and unrated secured NCDs issued on a private placement basis.

- Coupon rate: 11% per annum, payable quarterly.

- Security: First pari passu charge on Himatsingka’s Hassan and Doddaballapur plants with coverage ratios of 1.25x (book value) and 1.75x (FMV).

- Additional safeguards: Negative lien over approximately 4.85 acres of land and charge over the subscription escrow account.

- Repayment structure: 12-month moratorium followed by 10 quarterly instalments.

- Default clause: 2% additional interest applicable on delayed payments.

Major Takeaway

The move demonstrates Himatsingka’s continued focus on maintaining financial agility and prudent leverage management amid evolving market conditions.

Source: BSE CorporateAnnouncement, Company Filing

Notable Updates

Issue size: ₹100 crore through 1,000 Series “B” NCDs at ₹10 lakh each.
Type: Unlisted and unrated secured NCDs issued on a private placement basis.
Coupon rate: 11% per annum, payable quarterly.
Security: First pari passu charge on Himatsingka’s Hassan and Doddaballapur plants with coverage ratios of 1.25x (book value) and 1.75x (FMV).
Additional safeguards: Negative lien over approximately 4.85 acres of land and charge over the subscription escrow account.
Repayment structure: 12-month moratorium followed by 10 quarterly instalments.
Default clause: 2% additional interest applicable on delayed payments.