Purple Finance Ltd. Approves Debt Issuance and Portfolio Sale
Purple Finance Limited (PFL) announced on March 24, 2026, that its Board of Directors approved the issuance of up to 25,000 Senior, Secured, Rated, Listed, Redeemable, Transferable, INR Denominated, Non-Convertible Debentures (NCDs) with a face value of Rs. 10,000 each, aggregating up to Rs. 25,00,00,000. The NCDs will be issued on a private placement basis in one or more tranches. The Board delegated the authority to decide the terms and conditions of the NCD issuance to the Finance Committee. The issuance will be within the company's existing borrowing limits.Additionally, the company approved the sale of up to Rs. 37.93 crores of its portfolio under Direct Assignment, adhering to Reserve Bank of India (Non-Banking Financial Companies - Transfer and Distribution of Credit Risk) Directions, 2025. Purple Finance Limited will continue to act as a Servicer for all loans sold in this arrangement. The transaction is expected to be income accretive.
Details of the NCD Issuance:
| Particulars | Details of Issuance of Security | |
|---|---|---|
| Type of securities | Senior, Secured, Rated, Listed, Redeemable, Transferable, INR Denominated, Non-Convertible Debentures | |
| Issuance Type | Private Placement basis | |
| Total Number/Amount | Upto 25,000 debentures with a face value of Rs. 10,000 each, aggregating up to Rs. 25,00,00,000 | |
| Tenure | 24 months from the deemed Date of Allotment | |
| Coupon/Interest | 12% per annum payable monthly. Principal amount will be repaid in 6 installments with a final payment on maturity. | |
| Security | Secured by way of a first ranking pari passu and continuing charge over identified book debts/loan receivables. | |
| Default Interest | Additional interest at 2% per annum over the Interest Rate will be payable on the outstanding principal amounts if payments are delayed. |
The NCDs are expected to be listed on the Wholesale Debt market of BSE Limited.
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