Kosamattam Finance NCD – September 2023

Kosamattam Finance NCD opens for subscription from 08 September 2023. The company aims for a base issue size of ₹100 Crores.

About the company

The company is a systemically important non-deposit-taking NBFC primarily engaged in the Gold Loan business, lending money against the pledge of household jewelry (Gold Loans) in the states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Delhi, Maharashtra, Gujarat, and Telangana along with the Union Territory of Puducherry.

Its Gold Loan portfolio for financial years ending on 31 March 2023, 31 March 2022, and 31 March 2021, comprised 8,82,414; 8,10,711; 7,18,836, respectively gold loan accounts. As of 31 March 2023, its gold loan portfolio stood at INR 4,454.08 crore which amounted to 98.68% of its total loan portfolio.

As of 30 June 2023, the company had a network of 989 branches. It employed 4,092 persons in its business operations. Headquartered in Kottayam in the state of Kerala, the company belongs to the Kosamattam Group led by Mathew K. Cherian. It is registered with RBI as a systemically important, non-deposit-taking NBFC (Registration No. B-16.00117 dated 19 December 2013) under Section 45 IA of the RBI Act. Further, it also has a Full-Fledged Money Changers (FFMC) license bearing number FE.CHN.FFMC.40/2006 dated 7 February 2006, valid until 28 February 2025.

Objectives of the Issue

  1. For the purpose of onward lending.
  2. For repayment of interest and principal of existing debts of the company.
  3. General corporate purposes.

Kosamattam Finance NCD Details

Issue OpenSeptember 8, 2023 – September 22, 2023
Security NameKosamattam Finance Limited
Security TypeSecured, Redeemable, Non-Convertible Debentures (Secured NCDs)
Issue Size (Base)₹ 100.00 Crores
Issue Size (Shelf)₹ 200.00 Crores
Issue Price₹ 1000 per NCD
Face Value₹ 1000 for each NCD
Minimum Lot Size10 NCD
Market Lot1 NCD
Listing AtBSE
Credit RatingIND A-/Stable by India Ratings
Tenor20, 24, 30, 36, 39, 48, 54 and 88 Months
SeriesSeries I to VIII
Payment FrequencyMonthly and Cumulative
Basis of AllotmentFirst Come First Serve Basis
Debenture Trustee/sVistra Itcl India Limited

Options and Coupon Rates

OptionTenureInterest PaymentCoupon RateEffective YieldMaturity Amount
Series 120 monthsCumulativeNA8.52%₹ 1,146
Series 224 monthsMonthly8.75%9.11%₹ 1,000
Series 330 monthsCumulativeNA8.85%₹ 1,236
Series 436 monthsMonthly9.25%9.65%₹ 1,000
Series 539 monthsCumulativeNA9.25%₹ 1,333
Series 648 monthsMonthly10.00%10.47%₹ 1,000
Series 754 monthsCumulativeNA9.43%₹ 1,500
Series 888 monthsCumulativeNA9.91%₹ 2,000

NCD Rating

The NCDs proposed to be issued under this Issue have been rated ‘IND A-/Stable’, by India Ratings & Research Private Limited.

Company Financials

Period Ended31 Mar 202231 Mar 2023
Profit After Tax80.00107.05
(Amount in ₹ Crore)

NCD Allocation Ratio

NCD Allocation Ratio

Category NCD’s Allocated

NCD’s Offered by Category

Category NCD’s Reserved
Total NCD’s1,000,000

Company Promoters

  • Mr. Mathew K. Cherian
  • Ms. Laila Matthew
  • Jilu Saju Varghese

NCD Lead Manager

A-401/402, Lotus Corporate Park,
Off Western Express Highway,
Jai Coach Signal, Goregaon (East),
Mumbai – 400063, Maharashtra
Phone: +91 22 66481818
Email: kfl.ncd@smccapitals.com
Website: www.smccapitals.com

NCD Registrar

Selenium Tower B, Plot No – 31 & 32,
Financial District, Nanakramguda,
Serilingampally, Hyderabad Rangareddi,
500 032, Telangana, India
Phone: +91 40 6716 2222
Email: kosamattam.ncd@kfinech.com
Website: www.kfintech.com

Company Contact Details

Kosamattam City Centre,
Floor Number 4th & 5th, T.B Road,
Kottayam – 686001, Kerala
Phone: +91 481 258 6400
Email: cs@kosamattam.com
Website: www.kosamattam.com

Final Thoughts

Non-convertible debentures (NCDs) are a better investment option for those who are looking for a diversified portfolio. investing in Kosamattam Finance NCD is purely your personal choice. make a good study and analysis before you make the investment.

Happy Investing

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