Aye Finance Approves Issuance of Up to ₹220 Crore in Secured Non-Convertible Debentures
Aye Finance Limited has approved a significant issuance of secured non-convertible debentures (NCDs), aggregating up to Indian Rupees 220,00,00,000. The approval was granted by the company's Working Committee of Asset and Liabilities Committee (WALCO) during a meeting held on July 23, 2026.The debentures are being issued for cash through a private placement mechanism, with a total nominal value of INR 220,00,00,000. These instruments, which carry a face value of INR 1,00,000 each, have been categorized as rated, senior, listed, secured, transferable, and redeemable non-convertible debentures. The issuance includes a green shoe option allowing for up to an additional INR 20,00,00,000 in debentures.
The NCDs are proposed to be listed on the Wholesale Debt Market Segment of BSE Limited.
Key Transaction Details
The following table outlines the critical financial and operational details of the planned debenture issuance:| Particular | Detail |
|---|---|
| Type of Securities | Rated, Senior, Listed, Secured, Transferable, Redeemable, Non-convertible debentures (NCDs) |
| Total Issue Size | Up to INR 220,00,00,000 |
| Issuance Method | Private Placement |
| Tenure | 24 months from the deemed date of allotment |
| Coupon/Interest Rate | 9.75% per annum (payable monthly) |
| Proposed Allotment Date | July 29, 2026 |
| Final Redemption Date | July 28, 2028 |
Security and Default Provisions
The NCDs are secured by a first ranking exclusive and continuing charge over certain identified book debts and loan receivables of the company. The value of these hypothecated assets must be at least 1.05 times the outstanding amounts on the debentures throughout the tenure.Regarding default provisions, if there is a delay in payment of interest or principal for a period exceeding three months from the due date, the debenture holders will receive interest at 2% per annum over the Interest Rate on the outstanding principal amounts until the default is cured or the debentures are fully redeemed by the company, whichever occurs first.
The debentures are set to be redeemed by Aye Finance Limited on a pari passu basis on the Final Redemption Date, as detailed in the Transaction Documents.
AYE Stock Price Movement
Aye Finance Limited shares closed down by 3.51% today, settling at ₹170.78 after trading in the post-market session. The stock saw a volume of 2.17 million shares during the day, completing its movement within an intraday range that stretched from ₹165.5 to ₹179.38.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Any views, opinions, or statements expressed, where applicable, are those of the respective analysts or experts and do not reflect the views of this website. The website has no association with such viewpoints and does not assume any responsibility for them.