Gold loan firm Manappuram raising $16M via NCDs

Gold loan firm Manappuram Finance Ltd is raising Rs 100 crore ($16.3 million) by issuing secured, redeemable non-convertible debentures (NCDs) for funding its capex plans.

The NCDs have an effective rate of up to 12.61 per cent and will have a face value Rs 1,000 each. The issue will have tenure ranging from 400 days to 70 months.

ICICI Securities is the lead manager for the NCD Issue which opened on March 5, 2014 and will close on March 25 2014, with an option of early closure. The debentures will be listed on BSE.

"As with our previous issue, the funds raised by this NCD issue will be used in augmenting capital expenditure and meeting the working capital requirements," said I Unnikrishnan, executive director and deputy CEO, Manappuram Finance.

The firm, which counts names like Baring India PE, WestBridge Capital and India Equity Partners as shareholders, had raised Rs 200 crore through NCDs in December too.

(Edited by Joby Puthuparampil Johnson)

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