Indiabulls Housing Finance NCD opens for subscription from 20 October 2023. The company aims for a base issue size of ₹200 Crores.
About the company
The company is a non-deposit-taking housing finance company (HFC) registered with the NHB. It is also a notified financial institution under the SARFAESI Act. the company primarily offers housing loans and loans against property to the target client base of salaried and self-employed individuals and micro, small, and medium-sized enterprises (MSMEs) and corporates. and offers mortgage loans to real estate developers in the form of lease rental discounting for commercial premises and construction finance for the construction of residential premises. A majority of its Loan Book comprises housing loans, including in the affordable housing segment.
As of 31 March 2023, housing loans and non-housing loans constituted 57% and 43%, respectively of its Loan Book. It has now shifted to an asset-light business model, focusing on the co-lending of loans along with banks, other financial institutions, and credit funds and an increased sell-down of its loan portfolio. As of 30 September 2023, the company had a network of 218 branches spread across India which gives it a pan-India presence and allows it to interact with and service its customers. As of 30 September 2023, it had a direct sales team of 1,745 employees who were located across the network.
Objectives of the Issue
- For onward lending, financing, and for repayment of interest and principal of existing borrowings of the Company.
- General corporate purposes.
Indiabulls Housing Finance NCD Details
| Subscription Dates | 20 Oct – 3 Nov 2023 |
| Security Type | Secured, Redeemable, Non-Convertible Debentures |
| Face Value | ₹1,000 per NCD |
| Issue Price | ₹1,000 per NCD |
| Issue Size (Base) | ₹100 crores |
| Overall Issue Size (including oversubscription) | ₹200 crores |
| Minimum Lot Size | 10 NCDs |
| Market Lot | 1 NCD |
| Tenor | 24 months 36 months 60 months 84 months 120 months |
| Credit Rating | CRISIL AA/Stable ICRA AA (Stable) |
| Category Reservation | Category 1 (QIB): 30% Category 2 (NII): 10% Category 3 (HNI): 30% Category 4 (Retail): 30% |
| Basis of Allotment | First Come First Serve |
| Listing On | NSE, BSE |
Indiabulls NCD Options and Coupon Rates
| Option | Tenure | Interest Payment | Coupon Rate | Effective Yield | Maturity Amount |
| Series 1 | 24 months | Annual | 9.25% (for categories 1 & 2) | 9.24% (for categories 1 & 2) | INR 1,000 |
| Series 1 | 24 months | Annual | 9.65% (for categories 3 & 4) | 9.64% (for categories 3 & 4) | INR 1,000 |
| Series 2 | 24 months | Monthly | 8.88% (for categories 1 & 2) | 9.24% (for categories 1 & 2) | INR 1,000 |
| Series 2 | 24 months | Monthly | 9.25% (for categories 3 & 4) | 9.65% (for categories 3 & 4) | INR 1,000 |
| Series 3 | 24 months | Cumulative | NA | 9.25% (for categories 1 & 2) | INR 1,193.85 |
| Series 3 | 24 months | Cumulative | NA | 9.65% (for categories 3 & 4) | INR 1,202.65 |
| Series 4 | 36 months | Annual | 9.40% (for categories 1 & 2) | 9.39% (for categories 1 & 2) | INR 1,000 |
| Series 4 | 36 months | Annual | 9.90% (for categories 3 & 4) | 9.88% (for categories 3 & 4) | INR 1,000 |
| Series 5 | 36 months | Monthly | 9.02% (for categories 1 & 2) | 9.39% (for categories 1 & 2) | INR 1,000 |
| Series 5 | 36 months | Monthly | 9.48% (for categories 3 & 4) | 9.89% (for categories 3 & 4) | INR 1,000 |
| Series 6 | 36 months | Cumulative | NA | 9.40% (for categories 1 & 2) | INR 1,309.70 |
| Series 6 | 36 months | Cumulative | NA | 9.90% (for categories 3 & 4) | INR 1,327.75 |
| Series 7 | 60 months | Annual | 9.65% (for categories 1 & 2) | 9.64% (for categories 1 & 2) | INR 1,000 |
| Series 7 | 60 months | Annual | 10.15% (for categories 3 & 4) | 10.14% (for categories 3 & 4) | INR 1,000 |
| Series 8 | 60 months | Monthly | 9.25% (for categories 1 & 2) | 9.64% (for categories 1 & 2) | INR 1,000 |
| Series 8 | 60 months | Monthly | 9.71% (for categories 3 & 4) | 10.14% (for categories 3 & 4) | INR 1,000 |
| Series 9 | 84 months | Annual | 10.00% (for categories 1 & 2) | 9.99% (for categories 1 & 2) | INR 1,000 |
| Series 9 | 84 months | Annual | 10.50% (for categories 3 & 4) | 10.49% (for categories 3 & 4) | INR 1,000 |
| Series 10 | 84 months | Monthly | 9.57% (for categories 1 & 2) | 9.99% (for categories 1 & 2) | INR 1,000 |
| Series 10 | 84 months | Monthly | 10.03% (for categories 3 & 4) | 10.49% (for categories 3 & 4) | INR 1,000 |
| Series 11 | 120 months | Annual | 10.25% (for categories 1 & 2) | 10.24% (for categories 1 & 2) | INR 1,000 |
| Series 11 | 120 months | Annual | 10.75% (for categories 3 & 4) | 10.74% (for categories 3 & 4) | INR 1,000 |
| Series 12 | 120 months | Monthly | 9.80% (for categories 1 & 2) | 10.24% (for categories 1 & 2) | INR 1,000 |
| Series 12 | 120 months | Monthly | 10.25% (for categories 3 & 4) | 10.74% (for categories 3 & 4) | INR 1,000 |
Indiabulls Housing Finance NCD Rating
The NCDs proposed to be issued under this Issue have been rated CRISIL AA/Stable by CRISIL Ratings Limited and ICRA AA (Stable) by ICRA Limited with such ratings considered to have a stable outlook.
Company Financials
| Period Ended | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 74,945.24 | 81,973.32 | 93,239.03 |
| Revenue | 8,725.79 | 8,993.90 | 10,030.12 |
| Profit After Tax | 1,127.68 | 1,177.74 | 1,201.59 |
| Net Worth | 17,303.42 | 16,616.23 | 16,076.03 |
Indiabulls Housing Finance NCD Allocation Ratio
Indiabulls Housing Finance NCD’s Offered by Category
| Category | NCD’s Reserved |
|---|---|
| Institutional | 300,000 |
| Non-Institutional | 100,000 |
| HNI | 300,000 |
| Retail | 300,000 |
| Total NCD’s | 1,000,000 |
Company Promoters
- The Company has no identifiable promoters and is a professionally managed company.
Indiabulls Housing Finance NCD Lead Manager
- Nuvama Wealth Management Limited
- Elara Capital (India) Private Limited
- Trust Investment Advisors Private Limited
Indiabulls Housing Finance Registrar
KFIN TECHNOLOGIES LIMITED
Selenium Tower B, Plot No – 31 & 32,
Financial District, Nanakramguda,
Serilingampally, Hyderabad Rangareddi,
500 032, Telangana, India
Phone: +91 40 6716 2222
Email: ibhl.ncdipo@kfintech.com
Website: www.kfintech.com
Indiabulls Housing Finance Company Contact Details
INDIABULLS HOUSING FINANCE LIMITED
One International Centre, Tower 1,
18th Floor, Senapati Bapat Marg,
Elphinstone Road, Mumbai – 400 013,
Maharashtra, India
Phone: +91 22 6189 1400
Email: helpdesk@indiabulls.com
Website: www.indiabullshomeloans.com
Final Thoughts
Non-convertible debentures (NCDs) are a better investment option for those who are looking for a diversified portfolio. investing in Indiabulls Housing Finance NCD is purely your personal choice. make a good study and analysis before you make the investment decision.
Happy Investing
