Motilal Oswal Financial Services approves ₹200 crore NCD issue via private placement

Motilal Oswal Financial Services Ltd on Monday (September 7) said it has approved raising up to ₹200 crore through the issuance of up to 20,000 fully paid, secured, rated, redeemable and listed senior bonds in the nature of non-convertible debentures (NCDs).

The issue has a base size of ₹40 crore, with an option to retain oversubscription of up to ₹160 crore under the green shoe option. Each NCD will have a face value of ₹1 lakh, and the issue will be made on a private placement basis.

The NCDs are proposed to be listed on the Stock Exchange of India (NSE) and will have a tenure of five years. The date of allotment will be determined by the Board of Directors or its Finance Committee and notified to the stock exchanges.

The coupon or interest rate, payment schedule and principal repayment terms will be as specified in the Key Information Document (KID) dated September 7, 2026.

The principal amount of the NCDs, along with interest due and payable, will be secured by a first-ranking pari passu charge through hypothecation of the company’s present and future receivables, subject to specified existing charges.

The company will maintain a minimum security cover of 1.00 times the outstanding principal and interest until maturity.

Motilal Oswal Financial Services said there is no existing delay or default in payment of interest or redemption of principal on its NCDs. The company also said there are no special rights or privileges attached to the instruments and no comments regarding payment defaults or security-related matters.

Shares of Motilal Oswal Financial Services Ltd ended at ₹1,057.00, up by ₹22.00, or 2.13%, on the BSE.