Muthoot Mercantile, a leading gold loan provider belonging to the Muthoot Ninan Group and headquartered in Thiruvananthapuram, has announced a non-convertible debenture (NCD) issue to raise ₹100 crore (base issue ₹50 crore with a green shoe option of ₹50 crore).
A company spokesman said the issue presents an ‘exciting investment opportunity’ for those looking to diversify their portfolio and earn attractive returns. Interest rates on offer range from 10.50- to 13.65 per cent for senior citizens and 10.50- to 13.15 per cent for the public. Each of the public offering of the secured redeemable NCD has a face value of ₹1,000. The minimum amount required for investment is ₹10,000.
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Having commenced on May 6 and scheduled to conclude on May 17, the issue is progressing well, the spokesperson quoted Mathew M Muthoot, Chairman, and Richi Mathew, Managing Director, Muthoot Mercantile, as saying. The company intends to deploy these funds primarily in gold loan lending activities and for further branch expansion.
Currently, it has branches in 10 States and in one Union Territory. “Our paramount concern is the safety of our investors, which is complemented with an appealing rate of return. We anticipate robust demand for the issue from discerning investors,” Richi Mathew said.