Muthoot Mercantile NCD November 2026 Details & Guidance
Published: 12 November 2026
NCD Issue Opens on 12 November 2026
NCD Issue Closes on 26 November 2026
Muthoot Mercantile NCD November 2026 offers secured debentures with monthly coupons of 10%–11% and effective annual yields up to 11.57%. The minimum investment is Rs. 10,000. Investors can choose monthly income or cumulative options across nine series, with tenures ranging from 400 days to 78 months.
NCD Guidance Is Given at the Bottom of the Post
About the Company
Muthoot Mercantile Limited is a Thiruvananthapuram-based non-banking financial company primarily engaged in lending against gold jewellery. Its financial services activities also include investments, health insurance, foreign exchange and money transfers.
The company was incorporated on 3 March 1997 and belongs to the Muthoot Ninan Group, whose origins date to 1939.
Its branch network spans Kerala, Tamil Nadu, Maharashtra, Odisha, Delhi, Haryana, Madhya Pradesh, Punjab and Uttar Pradesh.
Get more details about the company at Muthoot Mercantile’s official website.
NCD Promoters
Mathew Mathaininan and Richi Mathew are the company’s promoters.
NCD Rating
The November issue’s abridged prospectus specifies ACUITE A−/Stable, pronounced “A minus with a Stable outlook.” muthootenterprises.com
The rating is an assessment of creditworthiness, rather than a guarantee of timely interest or principal repayment.
Muthoot Mercantile NCD November 2026 Details
| Particular | Details |
|---|---|
| Issue opens | 12 November 2026 |
| Scheduled issue closure | 26 November 2026 |
| Security name | Muthoot Mercantile Limited |
| Security type | Secured, redeemable, non-convertible debentures |
| Base issue size | Rs. 100 crore |
| Oversubscription option | Rs. 100 crore |
| Overall issue size | Up to Rs. 200 crore |
| Issue price | Rs. 1,000 per NCD |
| Face value | Rs. 1,000 per NCD |
| Minimum application | 10 NCDs |
| Minimum investment | Rs. 10,000 |
| Trading lot | 1 NCD |
| Proposed listing | BSE |
| Credit rating | ACUITE A−/Stable |
| Tenures | 400 days, 24, 30, 36, 60 and 78 months |
| Series | Series I to IX |
| Interest payment options | Monthly and cumulative |
| Monthly coupon range | 10%–11% per annum |
| Highest stated effective annual yield | 11.57% |
| Basis of allotment | First come, first served, subject to issue terms |
| Debenture trustee | Mitcon Credentia Trusteeship Services Ltd. |
The issue may close earlier or be extended in accordance with the prospectus and applicable requirements. muthootenterprises.com
NCD Allocation Ratio
| Category | Allocation | NCDs against base issue |
|---|---|---|
| Institutional | 10% | 1,00,000 |
| Non-Institutional | 15% | 1,50,000 |
| HNI | 40% | 4,00,000 |
| Retail | 35% | 3,50,000 |
| Total | 100% | 10,00,000 |
Muthoot Mercantile NCD Coupon Rates and Maturity Amounts
| Particular | Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | Series 6 | Series 7 | Series 8 | Series 9 |
|---|---|---|---|---|---|---|---|---|---|
| Interest payment | Monthly | Monthly | Monthly | Monthly | Monthly | Cumulative | Cumulative | Cumulative | Cumulative |
| Nature | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured |
| Tenure | 400 days | 24 months | 30 months | 36 months | 60 months | 78 months | 400 days | 36 months | 60 months |
| Coupon per annum | 10.00% | 10.15% | 10.25% | 10.50% | 11.00% | NA | NA | NA | NA |
| Effective annual yield | 10.47% | 10.64% | 10.75% | 11.02% | 11.57% | 11.25% | 10.35% | 10.06% | 10.53% |
| Maturity amount per NCD | Rs. 1,000 | Rs. 1,000 | Rs. 1,000 | Rs. 1,000 | Rs. 1,000 | Rs. 2,000 | Rs. 1,113.97 | Rs. 1,333 | Rs. 1,650 |
Monthly series pay interest during the tenure and return principal at maturity. Cumulative series pay the stated accumulated amount at maturity.
The highest coupon is 11% under Series 5, while its stated effective annual yield is 11.57%. The effective yield should not be confused with the cash coupon: realising a compounded return from monthly payments depends on reinvestment.
Series 6 offers Rs. 2,000 at maturity for each Rs. 1,000 NCD after 78 months, subject to the issuer meeting its obligations.
Objects of the Issue
The proceeds are intended to support:
- Onward lending and financing activities.
- Repayment or prepayment of borrowings, including principal and interest.
- General corporate purposes.
Investors should refer to the official issue documents for the detailed allocation and permitted use of proceeds.
Muthoot Mercantile Financial Information
| Period ended | 31 March 2026 | 31 March 2025 | 31 March 2024 |
|---|---|---|---|
| Assets | 1,399.40 | 990.80 | 792.05 |
| Total income | 248.79 | 166.43 | 131.78 |
| Profit after tax | 53.35 | 28.09 | 24.28 |
Amount in Rs. crore.
FY26 total income increased approximately 49.5%, while profit after tax rose approximately 89.9%. Assets expanded by approximately 41.2%.
Growth strengthens the earnings profile, but investors should also assess borrowing levels, asset quality and liquidity. Acuité identifies relatively higher leverage and competition in gold lending among the credit constraints. Acuite
Address of the Company
Muthoot Mercantile Limited
1st Floor, North Block, Muthoot Floors,
Opposite W&C Hospital, Thycaud,
Thiruvananthapuram, Kerala – 695014
Telephone: 0471-2774800
Email: cs@muthootenterprises.com
NCD Lead Managers
Vivro Financial Services Pvt. Ltd.
Tipsons Consultancy Services Pvt. Ltd.
NCD Registrar
Kfin Technologies Ltd.
Telephone: 040-79615565
Email: mml.ncdipo@kfintech.com
Muthoot Mercantile NCD November 2026 Review and Guidance
- Established lending franchise: The issuer benefits from an experienced promoter group and a business focused on gold-backed lending.
- Strong financial growth: FY26 income and profitability improved substantially. Sustaining asset quality and adequate funding alongside expansion remains important.
- Attractive income options: Monthly coupons of up to 11% offer regular cash flow, while cumulative series suit investors who do not require monthly income.
- Credit and liquidity risks remain: The ACUITE A−/Stable rating warrants greater caution than higher-rated debt. A secured structure does not eliminate default risk, and BSE listing does not ensure an easy exit at face value.
- Chanakya View: Investors comfortable with corporate credit risk may consider limited exposure within a diversified fixed-income portfolio. Conservative investors prioritising capital protection should prefer higher-credit-quality alternatives. Choose tenure according to cash-flow needs and the ability to hold until maturity; the highest yield alone should not determine the investment.
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