Mumbai: InCred Financial Services Limited announced here recently a public issue of secured, rated, listed, redeemable, Non-Convertible Debentures (NCDs) with Base size of Rs 150 crores with an option to retain oversubscription up to Rs 150 crore — aggregating up to Rs 300 crores.
The NCD issue opens on October 25 and closes on November 7, 2023. The NCDs are proposed to be listed on BSE Limited, which is the designated stock exchange for the issue.
InCred Financial Services Limited is a non-deposit-taking, systematically-important, NBFC registered with RBI.
Bhupinder Singh, Whole-Time Director and Chief Executive Officer, InCred Financial Services Limited, said “We have established ourselves as a diversified lending NBFC with a business model rooted in cutting edge tech and analytics and focused on risk metrics reflected in the strength of our asset quality.”
Describing this as a consequence of a tried and tested approach to credit risk and collections, he said the company continuously leverages technology and data science to make lending quick, simple and hassle-free. “A key component of our growth so far has been the success of our liabilities strategy, and this public issuance of NCDs will play a role in further diversifying and strengthening our borrowing mix.”
Noting that success in this business is dependent on risk-taking, Singh said that the company has a very high Capital Adequacy Ratio and its model gives it far greater resiliency during adverse times. “Technology is playing a great role in measuring risks on an ongoing basis,” he said.
Highlighting market segments that are still highly under-penetrated, he said +student loans+ presented a big market for bright students wanting to study abroad.
“One student, whose father was earning barely Rs 15,000 monthly salary, went abroad such a loan and is today earning around a crore rupees salary,” he said, adding “Schools too are our customers as banks don’t have a last-mile touchpoint.”
The fiscal year 2023 highlighted the company’s consolidated total revenue from operations at Rs 864.58 crores and consolidated net profit before tax at Rs 203.17 crores.
For the three months ending June 2023, total revenue from operations stood at Rs 266.94 crore and Profit before tax at Rs 83 crore.
InCred Financial Services Limited caters to lower middle class to middle class Indian households for their personal finance needs like education loans and personal loans. It also offers secured and unsecured business loans to small business, secured loan to K12 Indian schools for their expansion plans, supply chain financing, lending profitable financial institutions and micro-finance companies and escrow-backed lending through its SME vertical.
