IBL Finance Board Approves Increased Borrowing Limits and Plans Major Debenture Issues

IBL Finance Board Approves Increased Borrowing Limits and Plans Major Debenture Issues​

IBL Finance Limited held a Board Meeting on June 6, 2026, where it considered and approved several proposals aimed at enhancing its financial capacity and expanding its capital raising avenues. The company's board decisions included increasing both its overall borrowing limits and the authorization for creating charges over its assets.

Two major fundraising initiatives were also approved by the Board: one involving a private placement of non-convertible debentures (NCDs) and another concerning a public issue of NCDs.

Increased Financial Limits Approved​

The Board granted approval for increases in two key financial parameters, both pending subsequent shareholder approval:

• Borrowing Limit: The existing borrowing limit was increased from ₹ 500 Crore to ₹ 600 Crore.
• Charge Creation Limit: The overall limit for creating a charge on both movable and immovable properties, related to borrowing, was raised from ₹ 500 Crore to ₹ 600 Crore.

Proposed Debenture Issues Detailed​

The Board approved two distinct proposals regarding the issuance of non-convertible debentures (NCDs). These initiatives are designed to raise substantial capital for the company:

Private Placement NCDs:
A proposal was approved for raising funds through a private placement of Listed or Unlisted, Secured or unsecured, Rated or Unrated, Redeemable, Market Linked Debenture (MLD) or Fixed Return, Transferable or Non-Transferable Non-Convertible Debentures. The potential raise amount for this issuance is up to ₹ 150 Crore.

Public Issue NCDs:
The company also approved a proposal for raising funds through a public issue of non-convertible debentures in multiple issues or tranches, with a potential total amount of up to ₹ 200 Crore.

Details pertaining to the proposed securities are summarized below:

Private Placement Issuance Details (Up to ₹ 150 Crore)

Public Issue Issuance Details (Up to ₹ 200 Crore)

Committee Powers Enhanced​

The meeting also approved the appointment of various intermediaries relevant to the proposed public issue of NCDs. This includes appointments for: Lead Managers / Book Running Lead Managers, Debenture Trustee, Registrar to the Issue, Legal Counsel(s), Credit Rating Agency(ies), Bankers to the Issue / Escrow Bankers, Advertising and Public Relations Agency, Syndicate Members / Consortium Members / any other intermediary as per applicable law.

Furthermore, the Board approved an enhancement of the powers and authorities delegated to the Finance Committee, along with necessary amendments to its Terms of Reference.

IBLFL Stock Price Movement​

Shares of IBL Finance Limited on Friday closed flat at ₹57.55, recording zero percentage change after market close. The stock finished amid a limited trading volume of 2,000 shares.