Sakthi Finance Limited - 8th Public Issue of Rated, Secured, Redeemable NCDs

The Company :

Sakthi Finance Limited (SFL) was established in 1955, and is registered with RBI as an NBFC Middle Layer- Deposit-taking - Investment and Credit Company.

SFL is a part of "Sakthi Group" of companies based in Coimbatore, South India, a reputed and well-known Industrial conglomerate having major presence in sugar, industrial alcohol, automobile distribution, auto components, dairy, co-generation, wind energy and transportation.

SFL 's primary focus is on financing pre-owned commercial vehicles. SFL also provides finance for purchasing infrastructure construction equipment, multi-utility vehicles, cars, jeeps and other machinery. The finances provided are secured by lien on the assets financed.

SFL's customers are predominantly Small and Medium Road Transport Operators (SRTOs / MRTOs) and hailing from rural / semi-urban areas. These customers are looking for speedy delivery of finance at competitive rates, and SFL has identified this opportunity and positioned itself between the organized banking sector and local money lenders by offering finance at competitive rates with flexible and speedy lending services to customers.

SFL has a network of over 50 branches, located in Tamil Nadu, Kerala, Andhra Pradesh, Karnataka, and Telengana.

The Issue:

SFL has launched the Public Issue of Rated, Secured, Redeemable, Non-Convertible Debentures (NCDs) on 8th February, 2024. The details of the issue are given below:

Face Value per NCD Rs 1000
Issue Size Rs 100 Cr, with option to retain oversubscription up to Rs 100 Cr
Minimum Investment 10 NCDs /Rs 10,000
Rating The NCDs are rated BBB (Stable) by ICRA Limited.
Issue open from 8.2.2024
Issue closes on 21.2.2024
Tenor 24 months to 85 months
Rate of Interest 9% pa to 10.25% pa
Yield for cumulative options @ 9.74% pa to 14.30 % pa
@ calculated on quarterly compounding basis for 24, 26,and 60 months and on quarterly compounding basis for 84 months and monthly compounding basis for the residual period. The yield is on annual basis.

⦁ Investors are advised to read the prospectus dated 30th January, 2024, which is available in our Website ⦁ www.sakthifinance.com, before making any investment decision.
⦁ The NCDs are proposed to be listed on BSE for trading.
⦁ To apply call : [phone] or visit ⦁ www.sakthifinance.com