Arka Fincap’s Public Issue of NCDs

Arka Fincap Limited has announced public issue of secured, rated, listed, redeemable non-convertible debentures of face value of ₹ 1,000 each for an amount of ₹ 15,000 lakh with an option to retain oversubscription up to an amount of ₹ 15,000 lakh amounting to ₹ 30,000 lakh.

The NCDs offer Coupon Rate ranging from 9.00% to 10.00% per annum with quarterly and annual interest option. The NCDs have three tenors of 24 months, 36 months and 60 months. Please refer to the table on Issue Structure below on coupon rates and tenors for each series of NCDs. The NCDs are proposed to be listed on BSE Limited.

At least 75% of the funds raised through this Tranche I Issue will be used for the purpose of onward lending, financing, and for repayment of interest and principal of existing borrowings of the Company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the Tranche I Issue, in compliance with the Sebi.

Arka Fincap Limited, is an NBFC-ML registered with RBI. It is a professionally managed organization part of the Kirloskar Group, primarily engaged in providing structured term financing solutions to and personal finance loans to borrowers in India. It operates four principal lines of business, namely corporate lending, real estate and urban infra financing, MSME lending and personal lending. Its total Loan Book as of September 30, 2023was ₹ 4,03,319.32 lakh.