UGRO Capital , a prominent player in the non-banking financial sector, has recently made significant changes to its senior management team and announced plans for a substantial non-convertible debenture (NCD) issuance. These developments signal a new chapter for the company as it strengthens its leadership and capital base.

Leadership Overhaul

UGRO Capital implemented a series of high-level management changes:

• New CEO: Anuj Pandey, previously the Chief Risk Officer, has been elevated to the position of CEO. Pandey has also been designated as a Key Managerial Personnel.

• Chief Risk Officer: Irem Sayeed, formerly the Chief Credit Officer, has been promoted to Chief Risk Officer for a five-year term. Sayeed brings over 20 years of experience in financial services, having worked with notable institutions such as Mswipe Technologies, Magma Fincorp, Kotak Mahindra Bank, and GE Capital.

• Chief Revenue Officer: Sameer Nanda has been promoted from his previous role as Chief Collection and Litigation Officer. Nanda boasts more than 25 years of experience in the lending business, with stints at ABN AMRO Bank, ICICI Bank, and Religare.

• Chief Financial Officer: Shilpa Bhatter has been appointed as the new CFO. Bhatter is a Chartered Accountant with over 18 years of experience in the BFSI sector. In her previous role as CFO at Dvara Kshetriya Gramin Financial Services, she successfully mobilized over ₹4,000 crores in debt.

These appointments have led to the departure of two executives:

• Kishore Lodha has resigned as CFO.
• Amit Mande will continue as Chief Revenue Officer until August 8 to ensure a smooth transition.

Planned NCD Issuance

In addition to the leadership changes, UGRO Capital has announced plans for a significant capital raise through the issuance of Non-Convertible Debentures (NCDs). The Investment and Borrowing Committee of the Board of Directors approved this move. Key details of the proposed NCD issuance include:

The company stated that this issuance is aimed at raising subordinated debt as Tier II capital to enhance its capital adequacy, in line with the Reserve Bank of India's regulations for Non-Banking Financial Companies.

These strategic moves - both in terms of leadership restructuring and capital raising - demonstrate UGRO Capital's commitment to strengthening its position in the competitive non-banking financial sector. The infusion of experienced leadership and additional capital is likely to support the company's growth plans and operational capabilities in the coming years.

UGRO Capital , a prominent player in the financial services sector, has launched a significant capital raising initiative. The company has opened a public issue of Non-Convertible Debentures (NCDs) worth up to ₹200 crores and announced a rights issue to raise up to ₹400 crores.

NCD Issuance Details

UGRO Capital has launched a public issue of secured, rated, listed, redeemable non-convertible debentures with the following key features:

At least 75% of the NCD proceeds will be used for onward lending and financing business.

Rights Issue Announcement

In addition to the NCD issue, UGRO Capital has announced a rights issue with the following details:

Company Performance

UGRO Capital has reported strong growth in its recent financial performance:

• Assets Under Management (AUM) growth: From ₹6,081.00 crores to ₹12,003.00 crores in the latest period
• Profit before tax: Increased to ₹203.00 crores

Conclusion

The launch of the NCD issue and the announcement of the rights issue demonstrate UGRO Capital's proactive approach to capital management. These moves are likely aimed at supporting the company's growth strategies and strengthening its market position. The significant growth in AUM and profitability underscores the company's potential in the financial services landscape.