IIFL Finance has informed stock exchanges about a credit rating assignment for its material subsidiary, IIFL Home Finance Limited. Infomerics Valuation and Rating Limited has assigned an IVR A1+ rating to the subsidiary's proposed commercial paper issue worth ₹3,000 crores.

Rating Assignment Details

Infomerics has provided the IVR A1+ rating specifically for the proposed commercial paper issue. This rating reflects the creditworthiness assessment of IIFL Home Finance Limited for the fundraising initiative.

Regulatory Compliance

The announcement was made in compliance with Regulation 30 read with Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The communication was addressed to both BSE Limited and The National Stock Exchange of India Limited.

Rating Rationale Availability

Infomerics has made the detailed rationale for the rating assignment available on their official website. The assessment document provides stakeholders with insights into the factors considered for the credit rating decision.

Corporate Structure Context

IIFL Home Finance Limited operates as a material subsidiary of IIFL Finance, making this rating assignment significant for the parent company's overall financial profile. The ₹3,000 crore commercial paper issue indicates the subsidiary's funding requirements for business operations.

IIFL Finance Limited has successfully completed the allotment of non-convertible debentures worth ₹650 crores under its Series D34 offering. The Finance Committee of the Board of Directors approved this significant debt issuance on December 16, 2025, marking another milestone in the company's fundraising activities.

Debenture Allotment Details

The company allotted 6,500 senior, unsecured, listed, rated, redeemable non-convertible debentures on a private placement basis. Each debenture carries a face value of ₹1,00,000, bringing the total issue size to ₹650 crores. The debentures have been issued in dematerialized form under Series D34, ensuring efficient trading and settlement.

Tenure and Payment Schedule

The non-convertible debentures carry a tenure of 3 years from the deemed date of allotment. The structured payment schedule includes regular interest payments and principal redemption at maturity.

Interest Payment Schedule:

• First Payment: December 16, 2026
• Second Payment: December 16, 2027
• Final Payment: December 18, 2028

Principal Redemption:

• Maturity Amount: ₹1,00,000 per debenture plus accrued interest
• Redemption Date: December 18, 2028

Default Protection Mechanism

The debentures include robust investor protection measures in case of payment delays. If the company delays interest or principal payments for more than three months from the due date, it will pay additional interest at 2.00% per annum over and above the coupon rate. This additional interest applies from the date of default until the event is cured to the satisfaction of the Debenture Trustee acting on debenture holders' instructions.

Regulatory Compliance

The allotment was conducted in accordance with Regulations 30 and 51 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company had previously intimated the exchanges about the proposed issuance on December 11, 2025, maintaining full regulatory compliance throughout the process.

This debenture issuance represents IIFL Finance Limited's continued efforts to diversify its funding sources and strengthen its capital base for business expansion and operational requirements.