Sadbhav Engineering Ltd. Allots Debentures in Two Tranches
Sadbhav Engineering Ltd. announced the allotment of non-convertible debentures (NCDs) in two tranches to existing lenders on March 25, 2026, as part of a debt restructuring plan.The first tranche comprises 36,376 NCDs with a face value of Rs. 1,00,000 each, totaling Rs. 3,63,76,00,000. The second tranche includes 34,949 NCDs with the same face value, aggregating to Rs. 3,49,49,00,000.
The debentures are unlisted, secured, taxable, redeemable, and non-convertible, issued at par on a private placement basis and held in dematerialized form.
Interest on NCD-I debentures is set at 9% per annum, payable along with the principal amount on the redemption date. NCD-II debentures have an interest rate of 0.01% per annum, also payable with the principal at redemption.
The maturity dates for NCD-I are March 31, 2031, while NCD-II matures on March 31, 2034.
The debentures are secured by the hypothecation of current and other movable assets (excluding assets exclusively charged to existing lenders) and a mortgage of identified fixed assets.
Repayment Schedule
The following table outlines the repayment schedule for NCD-I and NCD-II:
NCD-I Repayment Schedule
| Date | Repayment (%) |
|---|---|
| Mar 26 | 10.20% |
| Sep 26 | 0.50% |
| Mar 27 | 0.50% |
| Mar 28 | 5.00% |
| Mar 29 | 5.00% |
| Mar 30 | 5.00% |
| Mar 31 | 11.50% |
| Mar 32 | 20.50% |
| Mar 33 | 20.50% |
| Mar 34 | 21.30% |
| Total | 100.00% |
NCD-II Repayment Schedule
| Date | Repayment (%) |
|---|---|
| Mar 26 | 10.20% |
| Sep 26 | 0.50% |
| Mar 27 | 0.50% |
| Mar 28 | 5.00% |
| Mar 29 | 5.00% |
| Mar 30 | 5.00% |
| Mar 31 | 11.50% |
| Mar 32 | 20.50% |
| Mar 33 | 20.50% |
| Mar 34 | 21.30% |
| Total | 100.00% |
A portion equivalent to 8.99% of the NCD-II debentures will be converted into Equity Shares, subject to regulatory guidelines. Penal charges will be applicable in case of default in interest or principal payments.
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