Fedbank Financial Services Limited (Fedfina) has announced that its board of directors will convene on August 25, 2025, to deliberate on a significant debt proposal. The meeting agenda includes considering and approving the issuance of Non-Convertible Debentures (NCDs) worth up to 2,500.00 crore rupees.

Board Meeting Details

The company, in its regulatory filing, stated that the board meeting is scheduled for Monday, August 25, 2025. This meeting is being held in compliance with Regulations 29 and 50(1) of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015.

Proposed NCD Issuance

The primary focus of the board meeting will be to discuss and potentially approve the offer and issuance of Non-Convertible Debentures. The proposed NCD issuance has a ceiling of 2,500.00 crore rupees, subject to shareholder approval.

Regulatory Compliance

Fedbank Financial Services has duly informed the National Stock Exchange of India Ltd. and BSE Limited about the upcoming board meeting. The company trades under the symbol FEDFINA on the National Stock Exchange and has the scrip code 544027 on the BSE.

Investor Information

The company has stated that this notice will be available on its official website, www.fedfina.com , for investors and stakeholders to access. This move aligns with Fedfina's commitment to transparency and adherence to regulatory requirements.

Investors and market watchers will be keenly awaiting the outcome of this board meeting, as the proposed NCD issuance could have significant implications for the company's financial strategy and future growth plans.

Fedbank Financial Services Limited (Fedfina), a retail-focused NBFC specializing in Loan Against Property and Gold Loans, has announced its financial results for the first quarter, showcasing steady growth and a strategic focus on MSME lending and digital expansion.

Financial Highlights

• Profit After Tax (PAT) increased by 6.8% year-on-year to ₹75.00 crore
• Net Interest Income rose by 7.4% YoY to ₹268.20 crore
• Assets Under Management (AUM) grew by 19.0% YoY to ₹15,697.00 crore
• Disbursements saw an 18.6% YoY growth, reaching ₹5,933.00 crore

Strategic Focus on MSME Lending and Digital Expansion

Fedfina has outlined a multi-pronged growth strategy centered on:

1. MSME-focused lending
2. Digital deepening
3. A gold-mortgage twin engine approach

The company is targeting high-quality secured AUM expansion and aims to achieve a sustainable Return on Equity of 12-13%.

Key Business Metrics

Asset Quality and Capital Adequacy

• Gross Stage III assets remained stable at 2.0%
• Net Stage III assets stood at 1.2%
• Capital Adequacy Ratio (CRAR) improved to 22.4%, well above regulatory requirements

Operational Updates

• Branch network expanded to 668 branches across 18 states and union territories
• Employee count increased to 4,797, up 10.4% YoY

Digital Initiatives

Fedfina continues to invest in its digital capabilities:

• 76% digital registration and 65% digital payments
• Over 10 lakh app downloads
• Implementation of API integration, cloud-based loan origination systems, and AI/ML-powered customer service

Management Commentary

Parvez Mulla, MD & CEO of Fedbank Financial Services, stated, "Our Q1 results demonstrate the strength of our business model and the success of our strategic focus on MSME lending and digital expansion. We are well-positioned to capitalize on the growing demand for secured loans in the MSME sector while maintaining robust asset quality."

Outlook

With its strong capital position, expanding branch network, and focus on secured lending to MSMEs, Fedbank Financial Services is poised for continued growth in the coming quarters. The company's emphasis on digital transformation and customer-centric approach is expected to drive operational efficiencies and enhance customer experience.

As Fedfina continues to execute its growth strategy, investors and stakeholders can anticipate sustained performance and value creation in the evolving financial services landscape.