Unifinz Capital India Limited has approved the issuance of up to ₹50 crore in senior secured non-convertible debentures (NCDs) on a private placement basis. The Asset Liability Management Committee (ALMC) sanctioned the deal, which carries a fixed annual coupon of 11% and a tenor of 15 months.

The issue comprises up to 50,000 debentures with a face value of ₹10,000 each. This base amount includes a green shoe option of up to ₹30 crore, allowing the company to raise additional funds if demand exceeds initial expectations. The securities are proposed to be listed on the Wholesale Debt Market segment of BSE Limited.

Issue specifics and security structure

The NCDs are rated, redeemable, taxable, and transferable. The allotment date is set for October 8, 2026, with final redemption scheduled for January 8, 2028. Interest payments will be made monthly, while the principal amount is payable at maturity.

To secure the debt, the company will create a first-ranking exclusive charge over certain identified book debts and loan receivables. The value of these hypothecated assets must remain at least 1.10 times the outstanding principal amount throughout the life of the debentures. In the event of a payment default, an additional interest rate of 4% per annum above the standard coupon will apply.

What the numbers show

The structure reveals a significant reliance on the green shoe option for capital expansion. The base issue size is effectively capped at ₹20 crore, while the optional tranche accounts for 60% of the total potential raise. This suggests that the company's immediate funding requirement is modest, but it is positioning itself to capture substantial additional liquidity if market conditions are favorable. The 11% coupon reflects the risk profile typical for NBFC debt instruments in the current interest rate environment, balancing investor yield requirements against the company's cost of capital.

Unifinz Capital India Limited approved the allotment of ₹50 crore worth of non-convertible debentures (NCDs) on September 16, 2026. The Asset Liability Management Committee authorized the private placement to raise capital through listed, senior, and secured instruments.

The issuance involves 50,000 debentures with a face value of ₹10,000 each. These securities are rated "IND BBB-/Stable" by Crisil Ratings Limited and will be listed on the Wholesale Debt Market segment of BSE Limited.

Deal Structure

The NCDs carry a fixed coupon rate of 11% per annum, payable monthly. The tenure is set at 15 months, with a deemed allotment date of September 16, 2026, and a final redemption date of December 16, 2027.

Security and Default Terms

The debentures are secured by a first-ranking exclusive charge over identified book debts and receivables of the company. The value of these hypothecated assets must remain at least 1.10 times the outstanding amount of the debentures throughout the tenure.

In the event of a payment default exceeding three months, additional interest at 4% per annum over the base interest rate will be payable on the outstanding principal until the default is cured or the debentures are redeemed.

What the Numbers Show

The security coverage ratio of 1.10x indicates a relatively tight collateral buffer for the ₹50 crore issuance. This suggests the company is leveraging specific high-quality receivables to secure funding at an 11% cost, balancing liquidity needs against asset encumbrance.