Akme Fintrade (India) Limited has secured a term loan sanction of ₹10 crore from City Union Bank Limited. The company disclosed this development in a regulatory filing dated September 30, 2026.

The intimation was submitted to both the National Stock Exchange of India Limited and BSE Limited. The filing confirms that the bank has approved the credit facility for the NBFC.

Loan Details

The sanctioned amount is specified as ₹10,00,00,000 (Rupees Ten Crores only). No further details regarding the interest rate, tenure, or collateral requirements were provided in the initial disclosure.

Regulatory Compliance

The company stated that the information is also available on its official website. Manoj Kumar Choubisa, Company Secretary and Compliance Officer, signed the digital submission on behalf of Akme Fintrade.

Akme Fintrade allotted ₹50 crore worth of secured non-convertible debentures through private placement on September 10, 2026. The issuance is split into two series with distinct tenors and coupon rates to meet investor demand.

The Board of Directors approved the allotment during a meeting held at the company’s registered office. The instruments are listed, rated, senior, secured, transferable, redeemable, and non-convertible.

Issue Structure

The total issue size of ₹50 crore comprises two series, each aggregating ₹25 crore. Both series are proposed to be listed on the National Stock Exchange of India.

Interest for both series is payable on a monthly basis, with the principal amount due on maturity. The payments will be made in accordance with the Debenture Trust Deed executed between the issuer and the Debenture Trustee.

Security and Covenants

The company must maintain a minimum security cover of 1.10x over eligible loan receivables throughout the tenure of the debentures. This security applies to present and future loan receivables that meet specific eligibility criteria.

Default provisions include an additional interest rate of 2% per annum above the applicable coupon rate if there is a payment default or breach of covenants. This penalty applies from the date of the event of default until it is cured or the final redemption amount is paid. Similar penal interest applies for delays in executing the Hypothecation Agreement or the Debenture Trust Deed within prescribed timelines.

What the Numbers Show

The slight variation in coupon rates between the two series reflects the difference in tenure. Series A2, with a longer 30-month maturity compared to Series A1’s 24 months, carries a higher coupon of 11.60% versus 11.40%. This pricing structure aligns with standard yield curve expectations where longer-dated debt commands a higher interest rate to compensate investors for extended duration risk.