Bonds/NCDs >> Tradable NCDs

 

Non Convertible Debentures

Debentures are long-term financial instruments which acknowledge a debt obligation towards the issuer. Some debentures have a feature of convertibility into shares after a certain point of time at the discretion of the owner. The debentures which can't be converted into shares or equities are called non-convertible debentures (or NCDs).

Non-convertible debentures are used as tools to raise long-term funds by companies through a public issue. To compensate for this drawback of non-convertibility, lenders are usually given a higher rate of return compared to convertible debentures.

Besides, NCDs offer various other benefits to the owner such as high liquidity through stock market listing, tax exemptions at source and safety since they can only be issued by companies which have a good credit rating as specified in the norms laid down by RBI for the issue of NCDs. NCDs have to be issued of a minimum maturity of 90 days.

 

PASSION | CULTURE | ETHICS

Muthoot Fincorp Ltd NCDs Muthoot Fincorp Limited, the flagship Company of the Muthoot Pappachan Group (MPG) ; established in 1887, the Muthoot Pappachan Group (MPG) is a diversified conglomerate with an overwhelming presence in multiple verticals. *Issue Closed

Kosamattam Finance Limited Kosamattam Finance Ltd. headquartered in Kerala, is registered with RBI as a non-deposit taking, systematically important, NBFC, lending money against pledge of used household gold jewellery (�Gold Loans�). *Issue Closed