IIFL Finance allots USD 500M notes at 7.60% coupon
IIFL Finance Limited has allotted USD 500 million Fixed Rate Senior Secured Notes due 2029 with a 7.60% coupon. The 3.25-year notes, rated B+ by Fitch and S&P, are part of a USD 1 billion programme and will be listed on IFSC exchanges. Proceeds will fund onward lending and business growth in line with the company's Social Finance Framework.

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IIFL Finance has allotted USD 500,000,000 Fixed Rate Senior Secured Notes due 2029. The Finance Committee approved the allotment on June 10, 2026, pursuant to powers delegated by the Board of Directors. The notes carry a coupon rate of 7.60% per annum and are issued under Regulation S and/or Rule 144A of the U.S. Securities Act 1933, as part of the company's USD 1,000,000,000 Global Medium Term Note Programme.
The issuance has a tenure of 3.25 years, maturing on September 10, 2029. Interest payments are scheduled semi-annually on March 10 and September 10 each year, commencing March 10, 2027. Fitch Ratings and S&P Global Ratings have each assigned a B+ rating to the instrument.
Proceeds from the issue will be utilized in accordance with IIFL Finance Limited's Social Finance Framework. The funds are earmarked for onward lending and supporting the growth of the company's business, complying with the External Commercial Borrowings (ECB) Regulations as defined in the Offering Circular dated May 25, 2026.
The notes will be listed on India International Exchange (IFSC) Limited and NSE IFSC Limited. Security for the notes includes a first ranking pari passu charge over all present and future receivables and assets of the company. This covers accounts, operating cash flows, current assets, book debts, loans, and advances, subject to the Security Coverage Ratio defined in the Offering Circular, excluding certain Excluded Assets.
| Particulars | Terms |
|---|---|
| Type of Instrument | Fixed Rate Senior Secured Notes |
| Size of the Issue | USD 500,000,000 |
| Tenure | 3.25 years |
| Date of Allotment | June 10, 2026 |
| Date of Maturity | September 10, 2029 |
| Coupon Rate | 7.60% per annum |
| Payment Schedule | Semi-annually on March 10 and September 10 |
| Issue Rating | B+ / B+ (Fitch / S&P) |
| Listing | India International Exchange IFSC Limited, NSE IFSC Limited |
Historical Stock Returns for IIFL Finance
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.61% | -0.56% | +13.50% | -8.31% | +9.41% | +115.82% |
How will the 7.60% coupon rate impact IIFL Finance's cost of capital compared to domestic borrowing options?
What specific sectors or social initiatives will be prioritized under the Social Finance Framework for the deployment of these funds?
Could this successful issuance pave the way for IIFL Finance to tap the remaining USD 500 million capacity of its GMTN programme?

































