Aditya Birla Capital Ltd. has allotted non-convertible debentures worth Rs 3,400 crore via private placement in two tranches, according to an exchange filing on Friday.
The company allotted 3.4 lakh partly paid, secured, rated, listed, taxable and redeemable NCDs, having a face value of Rs 1 lakh each. The issue price was Rs 50,000 per debenture, amounting to Rs 1,700 crore for each tranche, it said.
The NCDs issue size was Rs 2,000 crore with a greenshoe option for Rs 2,000 crore. They will be listed on the BSE and the National Stock Exchange. The tenor will last 3,651 days with a coupon rate of 7.61% per annum, the company said.
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.
Q1 Performance
Aditya Birla Capital's net profit rose 10% on a consolidated basis for the first quarter ended June 25 to Rs 835 crore. It had posted a profit of Rs 759 crore in the year-ago period.
The consolidated total income during the quarter under review rose to Rs 9,531 crore, compared to Rs 8,719 crore in the year-ago period.
The total expenses saw growth to Rs 8,460 crore in the quarter from Rs 7,756 crore in fiscal 2025.
Shares of Aditya Birla Capital closed 0.34% higher at Rs 291.50 apiece on the NSE, compared to a 0.43% rise in the benchmark Nifty. The stock had risen 32.21% in the last 12 months and 63.93% on a year-to-date basis.
Up to 10 analysts tracking the company, have a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analysts' price target implies a potential upside of 10.6%.
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