Two companies raised Rs 665 crore through retail issuance of non-convertible debentures (NCDs) in the first two months of current financial year.
This is on top of the Rs 33,812 crore garnered in the entire preceding financial year, according to the latest data with the Securities and Exchange Board of India.
The funds will be mobilised for expansion, support working capital requirements and other general corporate purposes.
Individually, Muthoot Finance mopped up Rs 500 crore as against a target of Rs 250 crore and Shakthi Finance raked in Rs 165 crore compared with the base size of Rs 100 crore.
NCDs are loan-linked bonds that cannot be converted into stock and usually offer higher interest rates than convertible debentures.
Moreover, several companies have lined up plans to raise funds through NCDs on a private placement basis.
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