Indel Money readies its biggest ever public sale of debt: Bankers

Synopsis

Indel Money is set to pursue a remarkable fundraising initiative of up to five billion rupees within this month. This forthcoming public debt offering marks the company's most significant endeavor to date. The bonds will have maturities ranging from 400 days to six years, boasting attractive coupon rates between nine and eleven point five percent. Rated A- by India Ratings, these bonds are expected to close on August thirty-first.

Indel Money ​is planning to raise as ​much as 5 billion rupees ($52.47 million) ​later this month in what would be its biggest public issue of debt, merchant bankers say.

Here are a few details ‌of the ⁠issue, according ⁠to a termsheet seen by Reuters:

* Indel Money aims ​to raise at least 2.50 billion rupees through public issue, which ​includes a similar greenshoe option.

* The company will issue bonds maturing in 400 days, two-years, three-years and ​six years, with a monthly ⁠and a cumulative ‌coupon payment option.

* The coupons ​on these ​instruments will range from 9.00% to 11.50%, ⁠with the cumulative yield for the six-year ​papers at 12.25%, and the principal amount ​more than doubling till the maturity.

* The company will also sell five-year bonds with only monthly payment option and a coupon of 11.00%.

* The bonds are rated A- by India Ratings and ‌will close for subscription on August 31.

* This would be the biggest public debt ​issue by ​the firm, surpassing ⁠its previous 3 billion rupees raised last fiscal year.

* So far in fiscal 2027, only six companies have ​raised around 17.42 billion rupees through public issue of such bonds, sharply lower than the more than 42 billion rupees raised in the first four months of fiscal 2026.

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