Transwarranty Finance Ltd Approves Private Placement of Unlisted Non-Convertible Debentures
Transwarranty Finance Limited announced that its Board of Directors approved the issuance of Unlisted Non-Convertible Debentures (NCDs) through a Private Placement. The details regarding the proposed issue were disclosed following the outcome of the Board meeting held on July 10, 2026.The total size of the debenture issuance is Upto Rs. 6,51,00,000/-, or Rupees Six Crore Fifty One Lakh only, across the various types of securities proposed for placement.
Details of NCD Issuance
The proposed Unlisted Non-Convertible Debentures span several categories, including Secured NCDs and Special Category Unsecured NCDs (Type B). The details concerning the different instrument characteristics are provided below:| Feature | Secured NCDs Type A/General | Special Category Unsecured NCDs Type B |
|---|---|---|
| Maximum Size | Upto Rs. 6,51,00,000/- (Rupees Six Crore Fifty One Lakh only) | Upto Rs. 6,51,00,000/- (Rupees Six Crore Fifty One Lakh only) |
| Face Value per NCD | Rs. 100,000 (1 NCD) | Rs. 10,00,000 (1 NCD) |
| Minimum Application Amount | Varies by category, starting from Rs. 2 lakhs. | Rs. 1,00,00,000 (10 NCDs) |
| Tenure of Instrument | Varies by security type (e.g., 3 years or 5 years). | 367 Days (Special Category) |
| Coupon Rate | Ranges from 11.25% p.a. to 11.75% p.a. | 12.00% p.a. |
| Interest Payment Frequency | Varies by security type (e.g., Monthly or Quarterly). | Quarterly at end of the quarter |
| Security Status | Secured by pari-passu charge on certain current assets of the Company. | Not applicable |
Interest and Redemption Terms
Regarding the financial structure, interest will be paid on the Application money at the respective coupon rates from the date of realization of the cheque until one day prior to the date of allotment.The source of redemption for various NCDs issued is set to be decided as and when the event of redemption occurs. Both Secured Debentures and Unsecured NCDs are subject to specific terms related to their tenure, interest payments, and security requirements. For instance, the secured debentures are protected by a pari-passu charge on certain current assets of Transwarranty Finance Ltd.
No Put or Call Options have been attached to any of the instruments detailed in this issuance proposal.
TFL Stock Price Movement
Today, Transwarranty Finance Limited shares edged higher to settle at ₹11.60, successfully closing up 0.35% in post-market trading. The stock traded within a tight intraday range of ₹11.56 and ₹11.99, with a total volume reported of 3,656 shares.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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