ECL Finance (ECLF), the NBFC arm of Edelweiss Financial Services, is looking to raise up to Rs 2,000 crore through secured redeemable non-convertible debentures (NCDs) of various maturities.
The base size of the NCD issue, which will open on July 24 and close on August 16, is Rs 500 crore, with a greenshoe option of Rs 1,500 crore.
"The funds raised will be used to refinance old debt, growing businesses and for general corporate purposes," Edelweiss Financial Services president and chief financial officer S Ranganathan told reporters here today.
It is offering an annual coupon rate of 9.45 per cent on three-year bond, 9.65 per cent on five-year bond and 9.85 per cent on 10-year bond.
There is also a floating rate option which is linked to the overnight Mumbai Inter-Bank Offer Rate (MIBOR), under which investors can earn the average annualised overnight MIBOR plus 2.5 per cent per annum for three years.
Axis Bank and Edelweiss Financial Services are the lead managers for the issue.
The company had last raised Rs 800 crore through NCDs in 2016.
In the year ended March 31, 2018, its profit after tax stood at Rs 462 crore.
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