Paisalo Digital Limited has commenced its public issue of secured, rated, listed, redeemable, non-convertible debentures (NCDs), aiming to raise up to ₹30,000 lakh through Tranche I. This issuance falls within the company’s approved shelf limit of ₹90,000 lakh and is designed to fund its lending operations by leveraging its loan receivables as security. The move allows the fintech lender to access long-term capital at defined interest rates, supporting its growth trajectory in the digital lending sector.

The Board of Directors initially approved the shelf issuance on May 10, 2026, followed by the Operations and Finance Committee’s approval of the Shelf Prospectus and Tranche I Prospectus on July 31, 2026. These documents were filed with the Registrar of Companies, NCT of Delhi – I at South Delhi, BSE Limited, and the Securities and Exchange Board of India (SEBI). The intimation was issued pursuant to Regulations 30 and 51 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Issue Structure and Timeline

The base issue size stands at ₹15,000 lakh, with an option to retain oversubscription of up to ₹15,000 lakh, bringing the total potential raise to ₹30,000 lakh. Each debenture carries a face value of ₹1,000. Investors can apply for a minimum of ₹10,000 (10 NCDs) and in multiples of ₹1,000 thereafter.

The issue remains open for subscription on working days from 10:00 a.m. to 5:00 p.m. Indian Standard Time. On the closing date, applications will be accepted until 3:00 p.m., with uploads permitted until 5:00 p.m. The company may close the issue earlier or extend it, subject to regulatory limits and board approvals.

Coupon Rates and Tenors

Paisalo Digital has structured the NCDs into six series, offering varying tenors and coupon rates to cater to different investor preferences. The coupons range from 9.00% per annum for the shortest tenor to 10.47% per annum for the longest. Interest payments are made either monthly or annually, depending on the series chosen.

Series VI is allocated to applications where no specific series choice is indicated.

Security and Listing

The NCDs are secured by an exclusive charge via hypothecation created on the company’s loan receivables. Paisalo Digital must maintain a security cover of at least 1.10 times the entire secured obligations throughout the tenure of the NCDs. The security will be created upfront before listing applications and perfected within 30 days of creation. Upon allotment, the debentures will be listed on BSE Limited, which serves as the designated stock exchange.

What the Numbers Show

The pricing structure reflects a clear risk-return gradient, with longer tenors commanding higher coupons. Series VI, the default allocation for unspecified choices, offers the highest coupon at 10.47% per annum for a 60-month tenor, indicating the company’s cost of capital for its longest-term liabilities. The effective yields are slightly higher than the stated coupons for monthly payment series due to compounding effects, while annual series show negligible differences. This structure suggests Paisalo Digital is actively managing its liability maturity profile, balancing immediate funding needs with long-term stability.

Paisalo Digital Limited will convene a meeting of its Foreign Currency Convertible Bonds (FCCB) Committee on August 06, 2026, to approve the allotment of equity shares. The action follows the receipt of conversion notices for the partial conversion of the company’s outstanding FCCBs. This procedural step ensures that existing bondholders exercising their conversion rights receive the corresponding equity instruments in compliance with regulatory timelines.

The disclosure was filed with the Bombay Stock Exchange (BSE) and the National Stock Exchange of India Limited (NSE) on August 01, 2026. It was issued pursuant to Regulation 30 and other applicable provisions of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Manendra Singh, Company Secretary of Paisalo Digital Limited, signed the intimation.

Meeting Details

The FCCB Committee is a specialized sub-committee of the Board of Directors responsible for overseeing matters related to foreign currency convertible bonds. Its primary role in this instance is to validate and authorize the issuance of new equity shares resulting from the conversion of debt instruments.

Regulatory Context

Under SEBI regulations, companies must promptly disclose any material events that could impact their securities or shareholder structure. The conversion of FCCBs into equity shares alters the capital structure by increasing the number of outstanding shares. While this does not involve cash inflow for the company, it dilutes existing equity holdings proportionally. The committee’s approval is a mandatory internal governance step before the actual allotment can be processed and reflected in the company’s register of members.

What This Means for Investors

Shareholders should note that the allotment of new shares upon conversion may lead to minor dilution in earnings per share (EPS) and voting power, depending on the volume of bonds converted. However, as this involves only partial conversion, the impact is likely to be contained. Investors can monitor subsequent filings for the final number of shares allotted and the updated shareholding pattern. No financial figures regarding the value of converted bonds or the number of shares to be issued were disclosed in this specific intimation.