Tata Capital Limited has officially allotted secured redeemable non-convertible debentures (NCDs) worth ₹343 crore on March 4, 2026, through private placement. The company informed the stock exchanges about the successful allotment of 34,300 debenture units under the series "TCL SECURED A FY 2023-24 VIS-M-Reissue No.2" with a maturity date of February 8, 2034.

Debenture Allotment Details

The comprehensive details of the NCD allotment are as follows:

Coupon Structure and Returns

The debentures feature a dual coupon rate structure offering competitive returns to investors:

Security and Credit Rating

The NCDs are secured by a pari-passu charge on the company's moveable property, including receivables and book debts from secured and unsecured loans, along with investments. The security cover is maintained at 1.00 times the aggregate outstanding value of debentures. The debentures carry strong credit ratings of CRISIL AAA/Stable by CRISIL Ratings Limited and [ICRA] AAA/Stable by ICRA Limited.

Payment Schedule and Terms

The debentures follow a bullet payment structure with redemption at maturity on February 8, 2034. Interest payments are scheduled annually on February 8 each year until maturity. In case of default or delay in payment, the company will pay additional interest of 2% per annum over the coupon rate for the defaulting period. The residual tenor from the deemed allotment date is 2,898 days, providing investors with a long-term fixed-income investment opportunity.

Tata Capital Limited has disclosed that its wholly owned subsidiary, Tata Capital Housing Finance Limited (TCHFL), has approved a significant rights issue of equity shares. The TCHFL board approved the issuance at its meeting held on February 25, 2026, marking a key development in the group's capital structure planning.

Rights Issue Approval Details

TCHFL's board of directors has approved the offer and issuance of equity shares worth ₹6,50,02,04,730 on a rights basis to its parent company, Tata Capital Limited. The approval provides flexibility for execution across multiple tranches based on business requirements.

Regulatory Compliance

Tata Capital Limited has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company received formal intimation from TCHFL regarding the board approval and promptly informed the stock exchanges.

Corporate Structure Impact

This rights issue represents an internal capital allocation within the Tata Capital group structure. The transaction will strengthen TCHFL's capital base while maintaining the existing ownership framework, with Tata Capital Limited continuing as the sole shareholder of the housing finance subsidiary.

The flexible tranche structure allows the companies to optimize timing and execution based on market conditions and operational requirements, demonstrating strategic financial planning within the group.