Poonawalla Fincorp , a prominent player in the financial services sector, has strongly denied recent media reports suggesting that the appointment of its new CEO was aimed at improving the company's financial records. The company has issued a formal statement to address these claims and provide clarity on its recent management changes and financial position.

Company's Official Statement

In a voluntary intimation to the stock exchanges, Poonawalla Fincorp emphasized that the perception created by recent media reports regarding the appointment of Mr. Arvind Kapil as Managing Director & CEO is incorrect. The company stated, "We would like to respectfully clarify that this is incorrect," referring to the notion that management changes were made to clean up the company's books.

Reaffirmation of Financial Strength

To underscore its financial robustness, Poonawalla Fincorp highlighted a recent announcement by Rising Sun Holdings Private Limited. The promoter entity plans to invest approximately ₹1,500.00 crores through a preferential allotment, which the company views as a reaffirmation of the promoter's deep commitment and strong confidence in the business's growth potential.

Impressive Growth Trajectory

The company took the opportunity to showcase its remarkable transformation since its acquisition in 2021:

• Assets Under Management (AUM) have surpassed ₹40,000.00 crores
• Net worth is expected to approach ₹10,000.00 crores following the capital infusion

Management Transition

Poonawalla Fincorp provided context for its recent management changes:

• Mr. Abhay Bhutada, the former Managing Director, completed a successful five-year tenure with the group
• In June 2024, Mr. Bhutada was elevated to a group-level position to focus on strategic initiatives and investments
• Mr. Bhutada himself suggested Mr. Arvind Kapil as his successor in Q3 FY24

The company expressed appreciation for the past leadership team's exceptional performance and reiterated that the new leadership was not brought in to "clean up" the books.

Recent Financial Activity

In a separate disclosure, Poonawalla Fincorp announced the allotment of non-convertible debentures (NCDs):

This successful debt raise further demonstrates the company's strong market position and investor confidence.

Poonawalla Fincorp remains focused on building long-term value for all stakeholders through strategic growth and operational excellence. The company's clear communication and transparency in addressing market speculations reflect its commitment to maintaining investor trust and corporate governance standards.

Poonawalla Fincorp , a prominent player in India's financial services sector, has successfully raised ₹350 crore through the issuance of non-convertible debentures (NCDs). This strategic move underscores the company's efforts to strengthen its capital base and support its growth initiatives.

Debenture Details

The company has allotted 35,000 secured, redeemable, rated, listed, non-convertible debentures with a face value of ₹1,00,000 each. These debentures, designated as PFL NCD Series 'E1' FY2025-26, were issued through private placement and carry an interest rate of 7.52% per annum.

Issue Structure

The NCD issuance comprised a base size of ₹150 crore with a green shoe option of ₹200 crore, which was fully exercised, bringing the total issue size to ₹350 crore. This oversubscription reflects strong investor confidence in Poonawalla Fincorp's financial stability and growth prospects.

Key Features

• Tenure: The debentures have a tenure of 2 years and 6 months, maturing on February 25, 2028.
• Listing: The NCDs will be listed on the Debt Market Segment of BSE Limited, enhancing their liquidity and tradability.
• Security: The debentures are secured by a first ranking pari passu charge on hypothecated properties, providing additional comfort to investors.

Interest Payment and Default Provisions

Poonawalla Fincorp has outlined clear terms for interest payments and potential defaults:

• Regular interest payments will be made as per the schedule detailed in the Key Information Document dated August 22, 2025.
• In the event of a payment delay exceeding three months, the company will pay an additional 2% over the applicable coupon rate until the default is resolved.

Regulatory Compliance

The company has duly informed the stock exchanges about this issuance, in compliance with Regulations 30 and 51 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The allotment was approved by the Finance Committee, as authorized by the Board of Directors of Poonawalla Fincorp.

This successful NCD issuance demonstrates Poonawalla Fincorp's ability to tap into debt markets effectively, potentially supporting its lending activities and overall business growth in the coming years.