[.]| Listing at BSE | Wed, Jun 3, 2020 - Fri, Jun 26, 2020
Muthoottu Mini Financiers Ltd. NCD issue is a public issue of secured, redeemable, non-convertible debenture , issued under a Shelf Prospectus of ₹200.00 Cr with a base issue size of ₹100.00 Cr and an option to retain oversubscription up to ₹[.] Cr, aggregating to a tranch issue size of ₹[.] Cr. The NCDs are offered at a face value ₹1000 each and an issue price of ₹1000 per NCD.
Muthoottu Mini Financiers Ltd. NCD issue opens on Jun 3, 2020 and closes on Jun 26, 2020. NCD are proposed to be listed on BSE.
The minimum lot size is 10 NCDs, requiring a minimum investment of ₹ 10,000 , while the market lot for trading is 1 NCD.
The issue offers interest rates ranging from per annum to per annum, depending on the series and tenure selected.
The NCD has been rated: .
Vivro Financial Services Pvt.Ltd. is the Lead Manager to the issue, is the Debenture Trustee, and MUFG Intime India Pvt.Ltd. is the Registrar to the Issue.
Investors are advised to refer to the NCD Offer Document for detailed information on risk factors, financials, and the terms of the issue.
Open Date
Wed, Jun 3, 2020
Close Date
Fri, Jun 26, 2020
Issue Size (Overall)
[.]
| Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | Series 6 | Series 7 | |
|---|---|---|---|---|---|---|---|
| Frequency of Interest Payment | Monthly | Monthly | Cumulative | Monthly | Cumulative | Monthly | Cumulative |
| Tenor | 480 days | 24 Months | 24 Months | 36 Months | 50 Months | 60 Months | 85 Months |
| Coupon Rate (Retail) | 9.50% | 9.75% | NA | 10.00% | NA | 10.50% | NA |
| Amount on Maturity | Rs 1,000 | Rs 1,000 | Rs 1,205 | Rs 1,000 | Rs 1,500 | Rs 1,000 | Rs 2,000 |
Nizzy Mathew and Mathew Muthoottu are the promoters of the company.
Incorporated in 1998, Kerala based Muthoottu Mini Financiers Limited is a non-deposit taking systemically important NBFC. The company is engaged in the gold loan sector lending money against gold jewelry ('Gold Loans'). It operates in the states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Haryana, Maharashtra, Delhi and Goa and the union territory of Puducherry.
The company has recently started microfinance lending wherein it provides unsecured loans to joint liability group of women customers (minimum of 5 persons) who need funds to carry out their business. In addition to loans, it also offers depository participant services, money transfer services, insurance, and travel services.
The Gold Loan portfolio of the company as on Sep 30, 2019, March 31, 2019, March 31, 2018, and March 31, 2017 were Rs 1,62,169.07 lakhs, Rs 1,35,012.97 lakhs, Rs 1,55,432.83 lakhs, Rs 1,94,000.29 lakhs and Rs 1,90,555.97 lakhs, respectively. The yield on Gold Loan assets was 119.17%, 18.18% and 22.20%, for March 31, 2019, March 31, 2018 and March 31, 2017, respectively.
The microfinance loan portfolio as on March 31, 2019, March 31, 2018, and March 31, 2017, were Rs 3,215.18, Rs 7,240.57 and Rs 1,329.45 lakhs accounting for 2.32%, 4.44% and 0.68% of the total loans and advances of the company.
The company has 767 branches and employs 3,141 persons in its business operations.
The company proposes to utilise the funds for the following objects:
1. Onward lending;
2. Repayment of interest and principal of existing loans; and
3. General corporate purposes.
[Dilip Davda] Considering poor rating and erratic performance for past few fiscals, there is no harm in giving this debt offer a miss. However, cash surplus/risk savvy investors may consider moderate investment as interest rates are lucrative amidst ongoing interest rate cut scenario. (Other). Read detail review...
The Muthoottu Mini NCD June 2020 was subscribed 2.37 times on Jun 26, 2020 17:00. The NCD subscribed .
Muthoottu Mini Financiers Ltd.
2/994, Muthoottu Buildings,
Kozhencherry, Pathanamthitta - 689 641,
Kerala, India
Indi, Karnataka, 689641
NSE and BSE offer NSEgoBid and BSEDirect apps/websites through which retail investors can apply for NCDs up to Rs 5 lakhs. Not all brokers and banks provide the facility to apply for NCD online.
To apply for an NCD online, the investor should fill in the NCD bid details online and provide the details of the DP and bank accounts (ASBA/UPI) as requested. In the case of a UPI application, the investor needs to approve the UPI mandate to complete the application process.
Steps to invest in NCD IPO through GoldenPi
Retail investors can apply for an IPO online if the investment amount is less than or up to 10 lakhs.
Steps to apply for NCD IPO with Indiabonds:
You can buy or invest in NCD IPOs through the following intermediaries:
The investor can apply for the NCD IPO online through NCD intermediaries such as a registered stockbroker, provided the broker offers an online application for the NCD IPO. Not many brokers allow you to invest in an NCD IPO online. Currently, very few brokers, such as Nuvama Wealth, Angel One, and SBI Securities, offer the facility to apply for NCD IPOs electronically. You should check with your broker or intermediary to see if the online application facility for the NCD IPO is available through them.
Refer to the detailed guidelines on NSEgoBID and BSEDirect for information on the registration process and how to apply for NCDs through the exchange.
Important links :
Read more about NCD Application Process.
The minimum amount required for NCD investment is Rs. 10,000.
Generally, the minimum lot size of NCD is 10, and the face value is 1,000.
NCD allotment can be checked on the BSE website or with the Registrar once the allotment has been made.
Steps to check the NCD allotment status at the BSE:
Alternatively, the applicant can also check the allotment status on the respective website of the Registrar for the issue. The applicant will need their PAN details or the applicant's Aadhaar number to check the status.
Generally, all applicants receive full allotment due to the retention of the oversubscription option.
Read more information on NCD Subscription and NCD Allotment Process.
No, you cannot withdraw or redeem Muthoottu Mini Financiers Ltd. NCDs before maturity directly from the company. However, there are a couple of options available if you want to exit early:
If the NCDs are listed on stock exchanges (like BSE/NSE), you can:
Only possible if a "call option" exists.
Read more about NCD Subscription and Allotment Process
Bid Cancellation and Withdrawal Policy for NCD Applicants
Note:
The specific process and conditions for post-closure cancellation vary by issuer. Applicants should refer to the Offer Document for issuer-specific guidelines.
