CEAT has successfully completed the allotment of non-convertible debentures worth ₹250 crores on December 30, 2025, through private placement. The tyre manufacturing company's Finance and Banking Committee approved the final allotment during a meeting held from 10:30 a.m. to 10:57 a.m. IST, marking the completion of its strategic debt fundraising initiative.

Official Allotment Details

The company has issued 25,000 NCDs with a face value of ₹1,00,000 each, structured as rated, listed, unsecured, redeemable non-convertible debentures. The allotment was completed following regulatory disclosures under Regulation 30 and 51 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Interest and Tenure Structure

The NCDs carry a competitive interest rate of 7.20% per annum, payable annually over the 5-year tenure. The debentures are unsecured instruments that will be redeemed at par value upon maturity on December 30, 2030.

Market Listing and Regulatory Compliance

The NCDs are proposed to be listed on the Wholesale Debt Market Segment of the National Stock Exchange of India Limited, providing institutional investors with liquidity options. The company has fulfilled all regulatory requirements and submitted necessary disclosures to both BSE and NSE, with the securities carrying the symbol CL26.

Strategic Capital Enhancement

This successful NCD allotment represents the completion of CEAT's strategic financing initiative, providing the company with long-term capital at a fixed cost. The private placement route enabled efficient access to institutional capital markets while maintaining the existing equity structure and avoiding shareholder dilution. The ₹250 crores raised will strengthen the company's financial position and support its operational requirements in the competitive tyre manufacturing sector.

CEAT Limited has received regulatory approval to establish subsidiaries in the United Kingdom and Germany, marking a significant milestone in the company's international expansion strategy.

Strategic European Expansion

The approval enables the tire manufacturer to set up operational entities in two key European markets. This development positions CEAT to strengthen its presence in the European tire industry and enhance its ability to serve customers across these regions.

Market Access and Operations

The establishment of subsidiaries in the UK and Germany will provide CEAT with direct market access in these countries. This strategic move allows the company to operate more efficiently in European markets and potentially improve its competitive positioning in the region.

The regulatory clearance represents an important step in CEAT's broader international growth strategy, allowing the company to establish a more robust European footprint through dedicated local operations.