Bajaj Finance , one of India's leading non-banking financial companies (NBFCs), has announced plans to raise ₹1,500 crore through the issuance of Non-Convertible Debentures (NCDs). This strategic move highlights the company's proactive approach to securing additional funding for potential business expansion or refinancing existing debt.

Understanding the NCD Issuance

Non-Convertible Debentures are fixed-income instruments that typically offer investors higher interest rates compared to regular bonds. A key characteristic of NCDs is that they cannot be converted into equity shares, making them a pure debt instrument. For Bajaj Finance, this method of fundraising provides an opportunity to access capital without diluting existing shareholder equity.

Implications for Bajaj Finance

The decision to raise ₹1,500 crore through NCDs could have several implications for Bajaj Finance:

1. Capital Infusion: The fundraise will provide a significant boost to the company's capital base, potentially enabling it to expand its lending activities or invest in new business opportunities.

2. Debt Management: If used for refinancing, this move could help Bajaj Finance optimize its debt structure, potentially leading to improved financial efficiency.

3. Market Confidence: A successful NCD issuance could be interpreted as a sign of market confidence in Bajaj Finance's creditworthiness and future prospects.

Investor Perspective

For potential investors, Bajaj Finance's NCD offering may present an attractive investment opportunity:

• Higher Returns: NCDs typically offer higher interest rates compared to traditional fixed deposits or savings accounts.
• Fixed Income: The fixed interest rate provides a predictable income stream for investors.
• Credit Quality: Given Bajaj Finance's standing in the financial services sector, the NCDs may be perceived as a relatively secure investment option.

As Bajaj Finance moves forward with this fundraising initiative, market participants will likely keep a close eye on the terms of the NCD issuance and the company's plans for utilizing the raised capital. The success of this offering could provide insights into both Bajaj Finance's financial strategy and the overall appetite for corporate debt in the current market environment.

Bajaj Finance , one of India's leading non-banking financial companies (NBFCs), has reported impressive growth figures for the first quarter of fiscal year 2026. The company's performance highlights its continued momentum in expanding its customer base and assets under management (AUM).

Strong AUM Growth

Bajaj Finance witnessed a substantial 25% year-on-year (YoY) increase in its Assets Under Management (AUM), reaching ₹4.41 lakh crore as of June 30, 2025. This growth underscores the company's ability to expand its loan portfolio significantly in a competitive market.

Expanding Customer Base

The NBFC's customer acquisition strategy appears to be yielding positive results. Bajaj Finance's customer base grew to 106.51 million, with the addition of 4.69 million new customers in Q1FY26. This expansion in the customer base indicates the company's strong market presence and its ability to attract new borrowers.

Surge in New Loan Bookings

Demonstrating robust demand for its financial products, Bajaj Finance reported a 23% YoY increase in new loan bookings. The company booked 13.49 million new loans during the quarter, reflecting healthy credit demand and the company's ability to capitalize on market opportunities.

Deposit Book Growth

Bajaj Finance's deposit book also showed solid growth, expanding by 15% YoY to reach ₹72,100 crore. This growth in deposits suggests increasing trust among depositors and provides the company with a stable source of funds for its lending activities.

Financial Performance Overview

Bajaj Finance's quarterly performance demonstrates its strong position in the NBFC sector, with significant growth across key metrics. The company's ability to expand its AUM, customer base, and loan bookings while also growing its deposit book indicates a well-rounded and robust business model. As the financial year progresses, market observers will be keen to see if Bajaj Finance can maintain this growth trajectory in the face of evolving economic conditions and competitive pressures in the financial services sector.