Regency Fincorp Ltd Raises ₹35 Crore Through NCD Transactions, Secures Further ₹25 Crore Option
Zirakpur-based NBFC Regency Fincorp Limited is pursuing a strategic debt fundraising effort, aggregating ₹35 crore through NonConvertible Debentures (NCDs), alongside a greenshoe option of ₹25 crore. The company intends to utilize these proceeds for its general corporate purposes, expanding its onward lending business, and supporting the growth of its loan portfolio.The fundraising plan involves two primary tranches. The initial transaction for ₹10 crore was executed on June 2, 2026, with the funds sourced from LC Venture Debt Fund. The second tranche, comprising a base issue size of ₹25 crore, is proposed for the third week of June. This second issuance includes a greenshoe option, allowing the company to raise an additional ₹25 crore if needed.
The proposed borrowing is secured by a charge over the company's performing loan receivables, which will be maintained at 1.25 times the outstanding amount. Personal guarantees have been provided by Mr. Gaurav Kumar, Promoter, and Mr. Sarfaraz Mallick, Whole-time Director & CFO.
The planned debt fundraising structure is detailed below:
| Tranche | Value | Timing | Source/Type |
|---|---|---|---|
| Initial Debt Raise | ₹10 crore | Executed on June 2, 2026 | From LC Venture Debt Fund |
| Second Tranche (Base) | ₹25 crore | Proposed in third week of June | Listed NCD Issue |
| Greenshoe Option | ₹25 crore | Optional Raise | Listed NCD Issue |
| Aggregate Proceeds | ₹60 crore |
Speaking on the fundraise, Mr. Sarfaraz Mallick, Whole-time Director & CFO, stated that the capital infusion marks a meaningful inflection point for Regency Fincorp. He highlighted the company's long-standing commitment to extending financial access to underserved customers, microentrepreneurs, and MSMEs. Mallick noted that the funds will enable the company to grow its loan book in a measured and sustainable manner while maintaining strong financial discipline.
Regency Fincorp Limited is a Non-Banking Financial Company (NBFC) that provides a range of financial products and lending solutions. The company focuses on meeting the needs of retail customers, MSMEs, and emerging businesses, aiming to drive financial inclusion through accessible credit solutions and operational excellence.
Stock Price Movement
At the close of trade today, shares of Regency Fincorp Ltd settled at ₹34.24, marking a substantial gain of ₹1.74, or 5.35%. Throughout the session, the stock exhibited strong volatility, trading within an intraday range established between ₹30.70 and ₹34.95.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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