08-May-2024
2 mins read
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Muthoot Mercantile NCD issue is open on Monday 6 May 2024 and will close on Friday, 17 May 2024. It is a Secured, Redeemable, Non-Convertible Debenture. The overall issue size is of Rs 100 crores. The base issue size is 50 crore, and the oversubscription issue size remains 50 crore. Muthoot Mercantile NCD issue price is Rs 1000 per NCD and face value is Rs 1000 each NCD. The minimum lot size is 10 NCD. The basis of allotment is first come and first serve basis. The debenture Trustee is Mitcon Credentia Trusteeship Services Limited. The listing is at (Bombay Stock Exchange) BSE and the tenor is of 18, 24, 36, 60, 75 months. The lead managers of Muthoot Mercantile Limited NCD are Vivro Financial Services Private Limited. The registrar of this IPO issue is Kfin Technologies Limited.
About Muthoot Mercantile Limited
Muthoot Mercantile Limited, incorporated in 1939, is a non-banking financial services company. It is engaged in providing loans against security of Gold, Investments, Health Insurance, Forex and Money Transfer. The company had a strong presence in South India. The branches are located throughout Kerala, Tamil Nadu, Maharashtra, Odisha, Delhi, Haryana, M.P, Punjab, U.P. It has a potential for further expansion. The company has headquartered in Thiruvananthapuram. The company’s financial position is good, and the lending business is up to mark, with their portfolio size slowly increasing. To meet the requirements of a Gold loan, the company issues NCDs and SDs. The company prioritises building long-lasting relationships with customers. They believe trust is earned through transparent and ethical practices. Due to this, every step of the gold loan process is conducted with utmost integrity.
Objectives of Muthoot Mercantile NCD
After deducting the issue expenses, the company proposes to utilise the fund for onward lending, financing, repayment and prepayment of principal and interest on existing borrowing. Additionally the fund gets utilised for general corporate purposes.
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Financial Performance of Muthoot Mercantile (In Rs Crore)
Muthoot Mercantile Limited posted a revenue of Rs 35.91 crore and net profit of Rs 8.73 crore for the period ending on 31 December 2023. The company’s revenue increased by 41.25% and PAT increased by 6.85% between the financial year ending with 31st March 2023 and 31st March 2022.
| Period Ended | 31-Dec-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 818.04 | 606.51 | 420.36 | 316.24 |
| Revenue | 35.91 | 94.67 | 67.02 | 49.39 |
| Profit After Tax | 8.73 | 18.19 | 17.02 | 14.02 |
| Net Worth | 148.74 | 135.56 | 117.37 | 100.35 |
Important Details of Muthoot Mercantile Limited NCD 2024
| Issue Open | May 6, 2024 - May 17, 2024 |
| Security Name | Muthoot Mercantile Limited |
| Security Type | Secured, Redeemable, Non-Convertible |
| Issue Size (Base) | Rs 50 Crores |
| Issue Size (Oversubscription) | Rs 50 Crores |
| Total Issue Size | Rs 100 Crores |
| Issue Price | Rs 1000 per NCD |
| Face Value | Rs 1000 each NCD |
| Minimum Lot size | 10 NCD |
| Market Lot | 1 NCD |
| Listing At | BSE |
| Credit Rating | IND BBB/Stable by India Ratings & Research Private Limited |
| Tenor | 18, 24, 36, 60, 75 months |
| Series | Series I to XI |
| Payment Frequency | Monthly and Cumulative |
| Basis of Allotment | First Come First Serve Basis |
| Debenture Trustee | Mitcon Credentia Trusteeship Services Limited |
Coupon Rates of Muthoot Mercantile Limited NCD
| Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | |
| Frequency of Interest Payment | Monthly | Cumulative | Monthly | Cumulative | Monthly |
| Nature | Secured | Secured | Secured | Secured | Secured |
| Tenor | 367 Days | 367 Days | 18 Months | 18 Months | 24 Months |
| Coupon (p.a) | 10.50% | NA | 10.50% | NA | 10.60% |
| Effective Yield (p.a) | 11.02% | 10.60% | 11.02% | 10.34% | 11.13% |
| Amount on Maturity | Rs 1,000 | Rs 1,106 | Rs 1,000 | Rs 1,159 | Rs 1,000 |
| Series 6 | Series 7 | Series 8 | Series 9 | Series 10 | Series 11 | |
| Frequency of Interest Payment | Cumulative | Monthly | Cumulative | Monthly | Cumulative | Cumulative |
| Nature | Secured | Secured | Secured | Secured | Secured | Secured |
| Tenor | 24 Months | 36 Months | 36 Months | 60 Months | 60 Months | 75 Months |
| Coupon (p.a) | NA | 10.75% | NA | 10.80% | NA | NA |
| Effective Yield (p.a) | 10.45% | 11.30% | 10.66% | 11.35% | 10.63% | 11.73% |
| Amount on Maturity | Rs 1,292.92 | Rs 1,000 | Rs 1,355.10 | Rs 1,000 | Rs 1,657.16 | Rs 2,000 |
NCD Rating
The NCD has been rated IND BBB/Stable by India Ratings & Research Private Limited.
Lead Manager of Muthoot Mercantile Limited NCD
The lead manager for the Muthoot Mercantile Limited NCD is Vivro Financial Services Private Limited.
How to Apply for Muthoot Mercantile Limited NCD?
Wait for the NCD to open for subscription, then click here to apply for this NCD online and in a hassle free way.
How do you check the allotment status of Muthoot Mercantile Limited NCD?
The Muthoot Mercantile Limited NCD 2024 registrar is Kfin Technologies Limited. To check your allotment status, please click here.
FAQs
- When will the Muthoot Mercantile Limited NCD be open for subscription?
Muthoot Mercantile Limited NCD issue will open on Monday May 6, 2024 and will close on Friday, May 17, 2024.
- What is the issue size and price of the NCD?
The overall issue size is of Rs 100 crores. The base issue size is 50 crore and for oversubscription issue size remains 50 crore.
- What are the main objectives of the Muthoot Mercantile Limited NCD?
After deducting the issue expenses, the company proposes to utilise the fund for onward lending, financing, repayment and prepayment of principal and interest on existing borrowing. Additionally the fund gets utilised for general corporate purposes.
- How has Muthoot Mercantile Limited performed financially?
Muthoot Mercantile Limited posted a revenue of Rs 35.91 crore and net profit of Rs 8.73 crore for the period ending on 31 December 2023. The company’s revenue increased by 41.25% and PAT increased by 6.85% between the financial year ending with 31st March 2023 and 31st March 2022.
- What types of financial services does Muthoot Mercantile offer?
Muthoot Mercantile Limited is a non-banking financial services company that provides loans against the security of gold, investment, health insurance, forex services, and money transfers.
- How can I apply for the Muthoot Mercantile Limited NCD ?
Wait for the NCD to open for subscription, then click here to apply for the Muthoot Mercantile Limited NCD.
- How can I check the allotment status of the NCD?
The Muthoot Mercantile Limited NCD registrar is Kfin Technologies Limited. To check your allotment status, please click here.
- What are the tenors and effective yields for the NCD?
The NCDs offer tenors of 18, 24, 36, 60, and 75 months, with coupon rates varying from 11.02% to 11.73% from Series 1 to Series 11.
- Who is the lead manager for the Muthoot Mercantile Limited NCD?
Vivro Financial Services Private Limited are appointed as the lead managers for this NCD issue.
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