News Corporate Actions SG Finserve Limited Receives BSE Approval for Non-Convertible Debenture Terms AmendmentSG Finserve Limited Receives BSE Approval for Non-Convertible Debenture Terms Amendment
SG Finserve Limited received BSE approval on February 26, 2026 for amendments to its non-convertible debentures (ISIN: INE618R07012). Key changes include adding April 06, 2026 as a new call option date, extending notice period from 15 to 21 days, and expanding notice requirements to include debenture holders and stock exchanges. The company obtained necessary consents and executed an amended Debenture Trust Deed with Axis Trustee Services Limited.
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SG Finserve Limited has successfully obtained in-principle approval from BSE Limited for significant amendments to its non-convertible debentures, marking an important development in the company's debt management strategy. The approval, received on February 26, 2026, pertains to listed, rated, secured, redeemable non-convertible debentures bearing ISIN INE618R07012.
Regulatory Approval and Compliance
The company has fulfilled all necessary regulatory requirements for the amendment process. SG Finserve Limited obtained the requisite consent from both the NCD holder and Axis Trustee Services Limited, which serves as the Debenture Trustee for the securities. The amended Debenture Trust Deed was executed on February 26, 2026, completing the formal documentation process.
Key Amendments to Debenture Terms
The amendments introduce several important changes to the original debenture structure:
| Amendment Type: | Existing Provision | Amended Provision |
|---|---|---|
| Call Option Dates: | 12 months from allotment date and every 6 months thereafter | Original dates plus April 06, 2026 |
| Notice Period: | 15 days prior written notice | 21 days prior written notice |
| Notice Recipients: | Debenture Trustee only | Debenture Trustee, Debenture Holder, and Stock Exchange |
Enhanced Call Option Framework
The most significant change involves the addition of April 06, 2026 as a new call option date. This provides the company with additional flexibility in its redemption strategy, allowing for early redemption beyond the standard periodic dates. The call option remains at the company's sole discretion without creating any obligation for redemption.
Extended Notice Requirements
The amendment extends the call option notice period from 15 days to 21 days, providing stakeholders with additional time for planning and preparation. Furthermore, the notice requirement has been expanded to include debenture holders and stock exchanges, enhancing transparency and communication.
Illustrative Cash Flow Structure
The company has introduced a detailed cash flow illustration for the potential call option exercise on April 06, 2026:
| Payment Type: | Amount per NCD (Rs.) | Total Cash Flow (Rs.) | Due Date |
|---|---|---|---|
| Interest Payment: | 9,850.00 | 49,250,000.00 | February 10, 2026 |
| Coupon Payment: | 1,484.25 | 7,421,250.00 | April 06, 2026 |
| Redemption: | 100,000.00 | 500,000,000.00 | April 06, 2026 |
This structure demonstrates the potential financial impact of exercising the call option on the newly added date, providing clarity to investors regarding expected cash flows.
Corporate Governance and Documentation
The amendment process reflects strong corporate governance practices, with proper approvals obtained from all relevant parties including regulatory authorities, trustees, and debenture holders. The company has maintained compliance with Regulation 51(2) of SEBI LODR Regulations 2015 throughout the amendment process. All documentation has been updated accordingly, including the Key Information Document, to reflect the new terms and conditions.
Historical Stock Returns for SG Finserv
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.22% | -3.72% | +3.59% | +1.83% | -2.24% | -2.24% |
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