Established in 1939, Muthoot Mercantile Limited is a non-banking financial firm specializing in gold-secured loans, investments, health insurance, forex services, and money transfers. The company is now offering Muthoot Mercantile NCD as part of its financial services
With branches across Kerala, Tamil Nadu, Maharashtra, Odisha, Delhi, Haryana, Madhya Pradesh, Punjab, and Uttar Pradesh, the company is well-positioned for further growth. Headquartered in Thiruvananthapuram, Kerala, Muthoot Mercantile has a long history in money lending, primarily focusing on small-scale loans secured by household and used gold jewelry. Over its 84-year history, the company has significantly expanded its operations.
Muthoot Mercantile NCD IPO August 2024 Detail
| Issue Open | August 23, 2024 – September 5, 2024 |
| Security Name | Muthoot Mercantile Limited |
| Security Type | Secured, Redeemable, Non-Convertible Debentures (Secured NCDs) |
| Issue Size (Base) | Rs 75.00 Crores |
| Issue Size (Oversubscription) | Rs 75.00 Crores |
| Overall Issue Size | Rs 150.00 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 by India Ratings & Research Private Limited |
| Tenor | 400 days, 20, 36,60 and 73 Months |
| Series | Series I to IX |
| Payment Frequency | Monthly and Cumulative |
| Basis of Allotment | First Come First Serve Basis |
| Debenture Trustee/s | Mitcon Credentia Trusteeship Services Limited |
Muthoot Mercantile NCD IPO Allocation Ratio
| Category | NCD’s Allocated |
|---|---|
| Institutional | 10% |
| Non-Institutional | 40% |
| Retail | 50% |
| Category 4 | % |
Muthoot Mercantile Limited NCD IPO Coupon Rates
| Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | Series 6 | Series 7 | Series 8 | Series 9 | |
|---|---|---|---|---|---|---|---|---|---|
| Frequency of Interest Payment | Monthly | Cumulative | Cumulative | Cumulative | Monthly | Cumulative | Monthly | Cumulative | Cumulative |
| Nature | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured |
| Tenor | 400 Days | 400 Days | 20 Months | 20 Months | 36 Months | 36 Months | 60 Months | 60 Months | 73 Months |
| Coupon (% per Annum) | 10.70% | NA | 10.80% | NA | 11.25% | NA | 11.50% | NA | NA |
| Effective Yield (% per Annum) | 11.24% | 10.80% | 11.35% | 10.77% | 11.85% | 11.08% | 12.13% | 11.03% | 12.07% |
| Amount on Maturity (In Rs.) | Rs 1,000.00 | Rs 1,118.95 | Rs 1,000.00 | Rs 1,185.83 | Rs 1,000.00 | Rs 1,370.50 | Rs 1,000.00 | Rs 1,687.50 | Rs 2,000.00 |
Muthoot Mercantile NCD IPO Rating
The Non-Convertible Debentures (NCDs) proposed for issuance in this offering have received a rating of IND BBB with a Stable outlook from India Ratings & Research Private Limited.
Purpose of the Issue
The Company plans to use the funds raised through this issue, after covering the related expenses, for the following purposes:
- To provide loans, finance activities, and repay or prepay principal and interest on existing borrowings.
- For general corporate purposes.
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