Arman Financial Services Limited has approved a significant fundraising initiative through the issuance of non-convertible debentures worth ₹1,250.00 crores. The Finance & Investment Committee of the Board of Directors approved this proposal during their meeting held on January 19, 2026, marking a substantial capital raising exercise for the financial services company.

NCD Issuance Details

The approved issuance comprises 125,000 listed, rated, senior, secured, transferable, redeemable non-convertible debentures through private placement. Each debenture carries a face value of ₹10,000.00, collectively aggregating to ₹1,250.00 crores. The instruments are designed to provide investors with a secure investment option backed by the company's book debts.

Interest Rate and Tenure Structure

The non-convertible debentures offer an attractive interest rate of 11.35% per annum, payable quarterly and on maturity. The instruments have a tentative tenure of 30 months from the deemed date of allotment, which is scheduled for January 29, 2026, or as specified in the Key Information Documents.

Security and Regulatory Compliance

The NCDs are secured by a first ranking exclusive charge over specified book debts, providing additional security to investors. The issuance follows applicable provisions of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring regulatory compliance.

The committee noted that the credit rating letter for the proposed issuance is currently pending and expected within the next few days. The issuance and allotment of NCDs will proceed only upon receipt of the requisite credit rating letter, in accordance with the Term Sheet and applicable SEBI regulations. The committee meeting commenced at 3:15 PM and concluded at 3:45 PM on January 19, 2026.

Arman Financial Services has announced its intention to raise ₹125 crores through the issuance of non-convertible debentures (NCDs), marking a significant capital-raising initiative for the financial services company.

Fundraising Details

The company's decision to opt for NCDs represents a strategic approach to debt financing, allowing it to access capital markets while maintaining its equity structure. Non-convertible debentures are debt instruments that cannot be converted into equity shares, providing investors with fixed returns while offering companies a cost-effective financing option.

Strategic Implications

This fundraising initiative demonstrates Arman Financial Services' focus on strengthening its capital base through debt instruments. The NCD route provides the company with access to institutional and retail investors seeking fixed-income investment opportunities.

The raised capital is expected to support the company's operational requirements and provide financial flexibility for its business activities. As a financial services company, maintaining adequate capital levels is crucial for regulatory compliance and business growth.

Market Context

The NCD issuance comes as part of the company's broader capital management strategy. For financial services companies, maintaining optimal capital structure through a mix of debt and equity financing is essential for sustainable operations and growth prospects.

This fundraising announcement reflects the company's confidence in its business model and its ability to service debt obligations while generating returns for investors.