India, Sep 09: Regency Fincorp Limited, a non-banking financial company focused on providing accessible and customer centric financial solutions announced that its Board of Directors have approved the issuance of 75,000 Secured, Rated, Listed, Non-Convertible Debentures, each having a face value of Rs. 10,000, aggregating to Rs. 75 crore, on a private placement basis.
The issuance comprises a base issue of 25,000 NCDs aggregating to Rs. 25 crore, along with a green shoe option of 50,000 NCDs aggregating to Rs. 50 crores. The NCDs will have a tenure of 30 months from the deemed date of allotment.
The funds raised through this issuance will be primarily deployed to strengthen and grow the Company’s two core business areas; MSME Secured Lending and Digital Lending. Secured Lending remains the Company’s core business segment, providing a stable, asset-backed foundation, while Digital Lending is positioned as its core growth engine, driving scale and future expansion.
Commenting on the development, Mr. Gaurav Kumar, Managing Director, Regency Fincorp Limited, said,
“We are pleased to share that we have grown 45% YoY in FY26 AUM, with our NIM at 10.3%. Additionally, given the credit offtake, we decided to raise ₹75 crore in debt through the secured, redeemable NCD route. This will not only be a natural next step in our growth trajectory but also strengthen our ability to scale both our secured and digital lending operations, while maintaining a disciplined approach to risk and asset quality. As we continue to grow, our focus remains on building a resilient and sustainable financial institution that can expand access to responsible credit and create long-term value for all our stakeholders.”
The issuance is in line with latest RBI directives wherein NBFCs have been urged to follow a diversified funding base while pursuing prudent approach to risk management and asset quality.