Announces its maiden Public Issue of Secured Redeemable Non-Convertible Debentures (“NCDs”)

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Mumbai, April 04, 2019: Magma Fincorp Limited, a non-banking finance company, is coming out with a Public Issue of Secured Redeemable Non-Convertible Debentures (“NCDs”) of the face value of Rs. 1,000 each. The Tranche I Issue includes a Base issue Size for an amount of Rs. 200 crores with an option to retain oversubscription up to Rs. 300 crores aggregating up to Rs.500 crores. The Tranche I Issue offers various options for subscription and yield up to 10.76% (per annum) on Redemption. The Tranche I Issue opens on April 08, 2019 and closes on May 08, 2019, with an option of early closure or extension.

The NCDs proposed to be issued under this Tranche I Issue are rated as BWR AA / Stable (pronounced as BWR Double A) (Outlook: Stable) by Brickworks Ratings India Private Limited and ACUITE AA/ Stable by Acuite Rating & Research Limited erstwhile known as SMERA Ratings & Research Limited.Such instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations and carry very low credit risk.

These NCDs, bearing a fixed rate of interest, are being offered under seven different Series.

The terms of each series of NCDs, offered under Tranche I Issue are set out below.

*The Company would allot the Series I NCDs, as specified in the Tranche I Prospectus to all valid Applications, wherein the Applicants have not indicated their choice of the relevant Series of NCDs.

Net proceeds of the issue will be utilized for the purpose of onward lending, financing and for repayment/prepayment of interest and principal of the existing borrowings of the Company; and for general corporate purpose.

The NCDs offered through the Tranche I Prospectus are proposed to be listed on the BSE & NSE. BSE shall be the Designated Stock Exchange for the Tranche I Issue.

The Lead Managers to the Issue are Edelweiss Financial Services Limited and A. K. Capital Services Limited.

Catalyst Trusteeship Limited (formerly known as GDA Trusteeship Limited) is the Debenture Trustee and Karvy Fintech Private Limited (formerly known as KCPL Advisory Services Private Limited) is the Registrar to the Issue.