Mangal Credit Board Approves Private Placement of NCDs Up To ₹ 35 Crore
Mangal Credit and Fincorp Limited announced that its Board of Directors, in a meeting held on August 14, 2026, approved several strategic proposals regarding Non-Convertible Debentures (NCDs). The approvals include the withdrawal of a prior offer and the authorization to raise up to ₹ 35 crore through a new private placement issuance.The Board first addressed the private placement offer for 2,000 NCDs with a face value of ₹ 1,00,000 each, totaling ₹ 20,00,00,000. The company confirmed that it had not circulated any subscription invitation letters nor received any funds from investors in connection with this specific issue. Consequently, the Board noted that there are no liabilities to any investor regarding the abandonment of this offer.
The primary outcome of the meeting was the approval to raise capital by issuing up to 3,500 Non-Convertible Debentures on a private placement basis. The total size of this potential issuance stands at ₹ 35,00,00,000 (Indian Rupees Thirty Five Crore only), with each NCD having a face value of ₹ 1,00,000.
Details regarding the proposed security offering are as follows:
| Particulars | Details w.r.t NCD issue |
|---|---|
| Type of Securities | Secured, Listed, Rated, Taxable, Transferable Redeemable Non-Convertible Debentures (NCDs). |
| Issuance Type | Private Placement to eligible investors. |
| Total Size | Issue up to 3,500 NCDs aggregating to ₹ 35,00,00,000. |
| Listing Stock Exchange | BSE Limited. |
| Tenure of Instrument | Tenor is 23 Months from the deemed date of allotment (Deemed Date of allotment: September 9, 2026; Date of Maturity: August 9, 2028). |
| Coupon/Interest Rate | 11.50% p.a., subject to deduction of tax at source. |
| Payment Schedule | Monthly interest payment and Bullet Repayment of the principal amount. |
| Charge/Security Created | Secured by a first ranking, exclusive and continuing charge over certain identified receivables of the Company. A security cover of 1.05 times the value of the outstanding principal plus accrued interest must be maintained until redemption. |
The proposed NCDs are secured by a first ranking charge over identified receivables, maintaining a minimum security cover ratio of 1.05 times the outstanding principal and accrued interest. The offering is slated for listing on BSE Limited and is designed to mature within a period of 23 months from the deemed date of allotment.
MANCREDIT Stock Price Movement
Shares of Mangal Credit and Fincorp Limited slipped by 1.98% to close today, settling at ₹238.07 following a significant drop from its opening price. The stock traded a volume of 47,667 shares, marking a decline from the day's high of ₹246.55.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.
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