April 10, 2024
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Kosamattam Finance NCD April 2024 Details & Guidance
NCD Issue Opens on 8 April 2024
NCD Issue Closes on 23 April 2024
# NCD Guidance is given at the bottom of the post
About the Company:
Kosamattam Finance is a non-deposit taking NBFC –Middle Layer primarily engaged in the Gold Loan business, lending money against the pledge of household jewellery (“Gold Loans”) in the state of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Delhi, Maharashtra, Gujarat, Uttar Pradesh and Telangana along with the Union Territory of Puducherry.
Its Gold Loan portfolio for the financial years ending on March 31, 2023, March 31, 2022 and March 31, 2021 comprised of 8,82,414, 8,10,711 and 7,18,836, gold loan accounts, respectively, aggregating to Rs. 4,45,407.85 lakhs, Rs. 3,65,802.24 lakhs and Rs. 3,14,609.59 lakhs, respectively, which is 98.68%, 98.52% and 98.34% of its total loans portfolio as on those dates.
As on December 31, 2023, it had a network of 988 branches spread in the states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Delhi, Maharashtra, Gujarat, Uttar Pradesh and Telangana along with the Union Territory of Puducherry and employed 3818 persons in its business operations.
Gold Loan is the most significant product in the product portfolio of its Company. Its Gold Loan customers are typically businessmen, vendors, traders, farmers, salaried individuals and families, who for reasons of convenience, accessibility or necessity, avail of its credit facilities by pledging their gold jewellery with it under its various gold loan schemes. These Gold Loan schemes are designed such that higher per gram rates are offered at higher interests and vice versa, subject to applicable laws. Its average Gold Loan amount outstanding was Rs. 50,476, Rs. 45,121 and Rs. 43,864 per loan account, for the financial years ended on March 31, 2023, March 31, 2022 and March 31, 2021, respectively. For the financial years ended March 31, 2023, March 31, 2022 and March 31, 2021, its yield on Gold Loan assets were 18.47%, 17.70% and 17.76%, respectively. In addition to the core business of Gold Loan, it also offers fee based ancillary services which includes microfinance, money transfer services, foreign currency exchange, power generation, agriculture and air ticketing services.
Get more details about the company @ http://www.kosamattam.com
NCD Promoter:
Mathew K. Cherian, Laila Mathew, and Jilu Saju Varghese are the company’s promoters.
NCD Rating
The NCDs proposed to be issued under this Issue have been rated ‘A-Stable’, by India Ratings & Research Private Limited.
| Kosamattam Finance NCD April 2024 Detail | |
| Issue Open | April 8, 2024 – April 23, 2024 |
| Security Name | Kosamattam Finance Limited |
| Security Type | Secured, Redeemable, Non-Convertible Debentures (Secured NCDs) |
| Issue Size (Base) | Rs 125.00 Crores |
| Issue Size (Oversubscription) | Rs 125.00 Crores |
| Overall Issue Size | Rs 250.00 Crores |
| Issue Price | Rs 1000 per NCD |
| Face Value | Rs 1000 each NCD |
| Minimum Lot size | 10 NCD |
| Market Lot | 1 NCD |
| Listing At | BSE |
| Credit Rating | A-Stable by India Ratings & Research Private Limited (IRRPL) |
| Tenor | 18, 24, 30, 36, 39, 48, 54 and 88 Months |
| Series | Series I to VIII |
| Payment Frequency | Monthly and Cumulative |
| Basis of Allotment | First Come First Serve Basis |
| Debenture Trustee/s | Vistra Itcl India Limited |
| NCD Allocation Ratio | |
| Category | NCD’s Allocated |
| Institutional | 10% |
| Non-Institutional | 10% |
| HNI | 30% |
| Retail | 50% |
| NCD’s Offered by Category | |
| Category | NCD’s Reserved |
| Institutional | 1,25,000 |
| Non-Institutional | 1,25,000 |
| HNI | 3,75,000 |
| Retail | 6,25,000 |
| Total NCD’s | 12,50,000 |
| Kosamattam Finance Limited NCD Coupon Rates | ||||||||
| # | Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | Series 6 | Series 7 | Series 8 |
| Frequency of Interest Payment | Cumulative | Monthly | Cumulative | Monthly | Cumulative | Monthly | Cumulative | Cumulative |
| Nature | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured |
| Tenor | 18 Months | 24 Months | 30 Months | 36 Months | 39 Months | 48 Months | 54 Months | 88 Months |
| Coupon (% per Annum) | NA | 8.75% | NA | 9.50% | NA | 10.00% | NA | NA |
| Effective Yield (% per Annum) | 8.52% | 9.11% | 9.00% | 9.92% | 9.42% | 10.47% | 9.43% | 9.91% |
| Amount on Maturity (In Rs.) | Rs 1,130.50 | Rs 1,000.00 | Rs 1,240.00 | Rs 1,000.00 | Rs 1,340.00 | Rs 1,000.00 | Rs 1,500.00 | Rs 2,000.00 |
Kosamattam Finance NCD April 2024 Details & Guidance
Objects of the Issue
The company intends to utilize the net proceeds from the issue towards the funding of the following objects:
For the purpose of onward lending.
For repayment of interest and principal of existing debts of the company.
For general corporate purposes.
.
Kosamattam Finance Financial Information (Restated)
| Company Financials | ||
| Kosamattam Finance Limited Financial Information (Restated) | ||
| Period Ended | 31 March 2023 | 31 March 2022 |
| Assets | 5,444.34 | 4,568.89 |
| Revenue | 782.54 | 624.79 |
| Profit After Tax | 107.05 | 80 |
| Amount in Rs Crore | ||
Address of the Company
Kosamattam Finance Limited
Kosamattam City Centre,
Floor Number 4th & 5th,
T.B Road, Kottayam -686001
NCD Lead Managers
Smc Capitals Limited
NCD Registrar
Kfin Technologies Limited
Kosamattam Finance NCD April 2024
Subscription Status on April 10, 2024
| Category | Subscription |
| Retail | 1.24 T |
| HNI | 0.57 T |
| Non-Institutional | 0.04 T |
| Institutional | 0.00 T |
| Total | 0.80 T |
Kosamattam Finance NCD April 2024
Kosamattam Finance NCD April 2024 Guidance:
1. Frequent visitor to the NCD market.
2. Reasonably good profits
3. NCD ratings considered to have a stable outlook.
4. Reasonably good coupon rates, in line with the risk involved.
May Apply
