UGRO Capital Ltd on Thursday said it will raise up to ₹200 crore via secured non-convertible debentures (NCDs) at a coupon rate ranging from 10.15 per cent to 10.40 per cent, depending on the tenor of the bonds.
The minimum subscription for the NCDs is ₹ 10,000 (10 NCDs of ₹ 1,000 face value each). The issue is for an amount of ₹ 100 crore (Base Issue Size) with an option to retain oversubscription up to ₹ 100 crore (Green Shoe Option).
The NCDs issue, which opened on October 10, will close for subscription on October 23. The MSME-focussed NBFC said it has the option of early closure, subject to compliance with the SEBI NCS Regulations.
The NCDs are proposed to be listed on the Stock Exchanges and NSE is the Designated Stock Exchange for the Issue, per a company statement.
This NCDs have a tenor of 18 months (coupon rate: 10.15 per cent), 24 months (coupon rate: 10.25 per cent), and 30 months (coupon rate: 10.40 per cent). The redemption amount on maturity for NCD holders in all categories is ₹1,000.
“At least 75 per cent of the net proceeds of the issue shall be utilised for the purpose of onward lending and financing business of the company in ordinary course of business (including for repayment / refinance of existing borrowings) and not exceeding 25 per cent shall be used for general corporate purposes,” according to the statement.