Akme Fintrade (India) Limited allotted ₹50 crore in secured, listed, and rated non-convertible debentures (NCDs) on a private placement basis. The allotment occurred on October 19, 2026, comprising two distinct series with varying tenures and coupon rates to meet immediate funding needs.

The board of directors approved the issuance of 50,000 NCDs, each with a face value of ₹10,000. The instruments are senior, secured, transferable, and redeemable. Series A1 accounts for ₹25 crore of the total issue, while Series A2 comprises the remaining ₹25 crore. Both series are proposed for listing on the National Stock Exchange.

Issuance structure and terms

The debt capital raise is structured into two tranches to diversify maturity profiles. Series A1 carries a shorter tenure of up to 24 months, maturing on October 19, 2028. It offers a coupon rate of 11.40% per annum, payable monthly. Series A2 extends the liability profile with a tenure of up to 30 months, maturing on April 19, 2029, and offers a higher coupon of 11.60% per annum, also payable monthly.

Security and covenant details

The NCDs are secured against loan receivables, both present and future, that meet specific eligibility criteria. The company is mandated to maintain a minimum security cover of 1.10x at all times during the tenure of the debentures. This security must be created on or prior to the deemed date of allotment.

In the event of a payment default or breach of covenants, the company agrees to pay an additional interest rate of 2% per annum above the applicable coupon rate. This penalty applies from the date of default until it is cured or the final redemption amount is paid. Similar penal interest provisions apply if there is a delay in executing the Debenture Trust Deed or perfecting the security within prescribed timelines.

What the numbers show

The issuance reveals a deliberate ladder strategy in Akme Fintrade's debt maturity profile. By splitting the ₹50 crore raise equally between a 24-month and a 30-month instrument, the company avoids a concentrated repayment wall in late 2028. The 20 basis point premium offered on the longer-dated Series A2 (11.60% vs 11.40%) reflects the standard yield curve pricing for additional duration risk. Furthermore, the strict 1.10x security cover requirement indicates that lenders are prioritizing asset-backed protection over unsecured credit, a common feature in NBFC private placements where asset quality monitoring is critical.

Akme Fintrade (India) Ltd board of directors approved the issuance of secured, listed, rated, transferable, redeemable non-convertible debentures (NCDs) up to ₹50 crore on a private placement basis.

The approval, granted during a meeting held on October 10, 2026, covers two specific series: Series A1 and Series A2. The company will issue these instruments in one or more tranches to eligible investors. The debentures are proposed to be listed on the National Stock Exchange of India Limited.

Series Details and Tenure

The total issue size of ₹50 crore is split equally between the two series, with each capped at ₹25 crore. The tenure for the instruments varies by series, offering different maturity profiles to investors.

The coupon rate and interest payment schedule for both series are specified in the key information document. The company is required to maintain a minimum security cover of 1.10x over loan receivables that meet eligibility criteria throughout the tenure of the debentures.

Default Provisions and Penalties

The filing outlines strict penalties for payment defaults or breaches of covenants. In the event of a payment default or any other event of default, the company agrees to pay an additional interest rate of 2% per annum above the applicable interest rate on the outstanding principal amount. This penalty applies from the date of the default until it is cured or the final redemption amount is paid.

Similar penal interest of 2% per annum applies in cases of:

• Breach of covenants and undertakings, payable within 30 calendar days of the breach.
• Delay in executing the hypothecation agreement and perfecting security.
• Delay in executing the debenture trust deed beyond SEBI-prescribed timelines.

Board Authorization for Larger Limit

Beyond the immediate ₹50 crore approval, the board has further authorised the Loan & Investment Committee to determine and approve the quantum, timing, and other terms for the issue of NCDs up to ₹300 crore. This broader authorization provides the committee with flexibility to raise capital as needed within this higher ceiling, subject to regulatory compliance and market conditions.

The meeting commenced at 11:00 am and concluded at 11:30 am. The intimation was filed under Regulation 30 and 51 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.