KLM Axiva Finvest Ltd has announced its 8th series of public issue of secured, redeemable, non-convertible debentures of face value of ₹1,000 each (“NCDs”) at par, aggregating up to ₹125 crore with an option to retain over-subscription up to ₹125 crore , aggregating up to ₹250 crore.
The minimum application amount for the issue is 5 NCDs i.e. ₹5,000 (across all options of NCDs). The issue will open on February 20 and close on Friday, March 3. The NCDs are proposed to be listed on BSE Ltd and the allotment will be on first-cum-first-serve basis.
The company proposes to utilise the funds for the purpose of onward lending, financing and repayment/prepayment of principal and interest on existing borrowings; and General Corporate Purposes.
The annual interest rate set for the issue is ranging from 9.50 per cent to 10.75 per cent and is available in monthly, annually and cumulative options for tenures 400 days, 16 months, 18 months, 2 years, 3 years, 5 years and 82 months, giving the effective yield of up to 11.02 per cent for the longer duration.
The NCDs proposed to be issued have been rated “IND BBB-/Stable”, by India Ratings & Research Private Limited.
The lead manager to the issue is Vivro Financial Services Pvt Ltd, Vistra ITCL (India) Ltd is the Debenture Trustee for the Issue and KFin Technologies Ltd is the Registrar to the Issue.
As on December 31, 2022, the company had a distribution network of 660 branches spread across Kerala, Karnataka, Tamil Nadu, Telangana, Andhra Pradesh and Maharashtra. The company also seek to expand its business in non-southern states.