Poonawalla Fincorp Gets Approval For Raising Rs 2,500 Crore Via Bonds

Poonawalla Fincorp had approved the issuance of non-convertible debentures of face value of Rs 1 lakh each. The total amount of the NCDs is set to add up to Rs 2,500 crore.

The NCDs will be issued through private placement, according to an exchange filing on Friday.

The NCDs are proposed to be listed on the BSE through fresh issuance under PFL NCD Series 'B2' financial year 2025-26 with a base issue of Rs 1,125 crore. A green-shoe option will retain oversubscription up to Rs 375 crore aggregating to Rs 1,500 crore, according to the company.

Through re-issuance under PFL NCD Series ‘B1’ financial year 2025-26, the base issue is Rs 500 crore and green-shoe option will retain oversubscription of up to Rs 500 crore aggregating to Rs 1,000 crore through private placement.

An NCD is a fixed-income instrument that provides structured returns to investors. As NCDs are unsecured and not backed by assets, the market participants evaluate the issuing company's creditworthy and debt-servicing capacity before allotment.

Earlier this month, the board of the company had approved to raise Rs 750 crore through NCDs.

In the fourth quarter of financial year 2025, Poonawalla Fincorp Ltd.'s net profit was down 81%, missing analysts' estimates. The company posted a profit of Rs 62 crore in the quarter ended March, according to an exchange filing on Friday. Analysts tracked by Bloomberg had a consensus estimate of Rs 138.4 crore.

The shares of Poonawalla Fincorp closed 0.23% higher at Rs 396.45 apiece on NSE, compared to a 0.99% advance in the benchmark index Nifty 50 at close on Friday.