Crest Ventures has announced the approval to issue unsecured non-convertible debentures (NCDs) worth up to ₹100 crore, aimed at strengthening its medium-term funding strategy. The debenture program features an initial tranche of ₹75 crore with an option to raise an additional ₹25 crore, offering both flexibility for the company and an attractive fixed-income opportunity for investors.
Debenture Issue Structure
The approved NCDs have been structured with the following parameters:
- Total Issue Size: Up to ₹100 crore
- Initial Tranche: ₹75 crore
- Additional Option: ₹25 crore
- Interest Rate: 12% per annum
- Security: Unsecured
- Convertibility: Non-convertible
- Maturity Period: 18 months
Funding Strategy and Investor Appeal
The issuance provides Crest Ventures with immediate capital access through the initial tranche, while the additional option allows the company to mobilize further funds depending on market conditions and business needs.
The 18-month maturity positions the debentures as a medium-term investment, delivering a fixed annual return of 12%. As unsecured instruments, these debentures do not require collateral, reflecting the company’s confidence in its ability to service debt obligations independently.
This fundraising initiative highlights Crest Ventures’ structured approach to debt management, enabling the company to maintain operational and financial flexibility while offering investors a competitive fixed-income product in the current market environment.
Summary:
Crest Ventures has approved the issuance of unsecured non-convertible debentures worth up to ₹100 crore, with a 12% annual interest rate and 18-month maturity. The initial tranche is ₹75 crore, with an additional ₹25 crore option. These debentures provide medium-term funding flexibility for the company and a fixed-income opportunity for investors, reflecting confidence in debt servicing without collateral.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
Investments in securities markets are subject to market risks. Please read all related documents carefully before investing.