June 17, 2024
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Nido Home Finance NCD June 2024 Details & Guidance
NCD Issue Opens on 13 June 2024
NCD Issue Closes on 27 June 2024
# NCD Guidance is given at the bottom of the post
About the Company:
The Company is a non-deposit taking Housing Finance Company focused on offering secured loan products to suit the needs of individuals, including small ticket loans to its customers in the affordable housing category. It is a part of Edelweiss group which is one of the leading diversified financial services groups in India. The Company was incorporated on May 2, 2008. The Company has obtained a Certificate of Registration dated May 19, 2023 bearing registration no. DOR – 00081 issued by the Reserve Bank of India under Section 29A of the National Housing Bank Act, 1987 pursuant to the change in the name of the Company from Edelweiss Housing Finance Limited to Nido Home Finance Limited to commence/carry on the business of a housing finance institution without accepting public deposits subject to the conditions mentioned in the certificate of registration.
However, RBI and NHB does not accept any responsibility or guarantee about the present position as to the financial soundness of the Company or for the correctness of any of the statements or representations made or opinions expressed by the Company and for the repayment of deposits/discharge of liabilities by the Company.
It offers customers a range of mortgage-related loan products, including:
# Home Loans
# Non-Housing Loans including loan against property (LAP),
# Construction Finance,
As on March 31, 2024, it has 67 offices in 67 cities in India. Over the past several years, it has diversified and expanded its presence into markets that are of greater relevance to the products it offers. Its offices aim at providing quick and seamless customer experience with emphasis on a single window interface for the customer. Its Branch Operations have significant technology architecture to ensure industry leading customer experience. Its operations are supported by 646 employees as on March 31, 2024.
Get more details about the company @ https://www.nidohomefin.com/
NCD Promoter:
Edelweiss Financial Services Limited, Edelweiss Rural & Corporate Services Limited, and Edel Finance Company Limited are the promoters of the company.
NCD Rating
The NCDs proposed to be issued under the Issue have been rated “CRISIL A+/ Watch Negative (Placed on ‘Rating Watch with Negative Implications)” for an amount of Rs 5,000 million by CRISIL Ratings Limited.
| Nido Home Finance NCD June 2024 Detail | |
| Issue Open | June 13, 2024 – June 27, 2024 |
| Security Name | Nido Home Finance Limited |
| Security Type | Secured, Redeemable, Non-Convertible Debentures (Secured NCDs) |
| Issue Size (Base) | Rs 50.00 Crores |
| Issue Size (Oversubscription) | Rs 50.00 Crores |
| Overall Issue Size | Rs 100.00 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 | CRISIL A+/ Watch Negative |
| Tenor | 24, 36, 60 and 120 months |
| Series | Series I to X |
| Payment Frequency | Monthly and Annually |
| Basis of Allotment | First Come First Serve Basis |
| Debenture Trustee/s | Beacon Trusteeship Limited |
| NCD Allocation Ratio | |
| Category | NCD’s Allocated |
| Institutional | 10% |
| Non-Institutional | 10% |
| HNI | 40% |
| Retail | 40% |
| NCD’s Offered by Category | |
| Category | NCD’s Reserved |
| Institutional | 50,000 |
| Non-Institutional | 50,000 |
| HNI | 2,00,000 |
| Retail | 2,00,000 |
| Total NCD’s | 5,00,000 |
| Nido Home Finance Limited NCD Coupon Rates | ||||||||||
| # | Series 1 | Series 2 | Series 3 | Series 4 | Series 5 | Series 6 | Series 7 | Series 8 | Series 9 | Series 10 |
| Frequency of Interest Payment | Annual | NA | Monthly | Annual | NA | Monthly | Annual | NA | Monthly | Annual |
| Nature | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured | Secured |
| Tenor | 24 Months | 24 Months | 36 Months | 36 Months | 36 Months | 60 Months | 60 Months | 60 Months | 120 Months | 120 Months |
| Coupon (% per Annum) | 9.50% | NA | 9.58% | 10.00% | NA | 10.03% | 10.50% | NA | 10.26% | 10.75% |
| Effective Yield (% per Annum) | 9.50% | 9.50% | 10.01% | 10.00% | 10.00% | 10.50% | 10.49% | 10.50% | 10.75% | 10.74% |
| Amount on Maturity (In Rs.) | Rs 1,000.00 | Rs 1,199.13 | Rs 1,000.00 | Rs 1,000.00 | Rs 1,331.18 | Rs 1,000.00 | Rs 1,000.00 | Rs 1,648.17 | Rs 1,000.00 | Rs 1,000.00 |
Nido Home Finance NCD June 2024 Details & Guidance
Objects of the Issue
The Net Proceeds raised through the Tranche III Issue will be utilised for the following activities in the ratio provided below:
1. For onward lending, financing, and for repayment/prepayment of interest and principal of existing borrowings of the Company.
2. General Corporate Purposes.
.
Nido Home Finance NCD June 2024
Financial Information (Restated)
| Company Financials | |||
| Nido Home Finance Limited Financial Information (Restated) | |||
| Period Ended | 31 March 2024 | 31 March 2023 | 31 March 2022 |
| Assets | 3,764.95 | 3,786.24 | 3,956.66 |
| Revenue | 465.71 | 444.69 | 513.91 |
| Profit After Tax | 19.31 | 16.06 | 13.81 |
| Net Worth | 814.79 | 794.47 | 777.63 |
| Amount in Rs Crore | |||
Address of the Company
Nido Home Finance Limited
Tower 3, 5th Floor,
Wing B, Kohinoor City Mall Kohinoor City,
irol Road, Kurla (West) Mumbai – 400070
NCD Lead Managers
Tipsons Consultancy Services Private Limited
Nuvama Wealth Management Limited
NCD Registrar
Kfin Technologies Limited
Nido Home Finance NCD June 2024
Subscription Status on June 18, 2024, 5.00 pm
| Category | Subscription |
| Retail | 0.68 X |
| HNI | 0.37 X |
| Non-Institutional | 0.62 X |
| Institutional | 0.80 X |
| Total | 0.56 X |
Nido Home Finance NCD June 2024
Nido Home Finance NCD June 2024 Guidance:
1. The company has strong parentage and but small profits. It launched its credit business around 13 years ago with retail credit products and we have diversified its credit portfolio since then by adding other products.
2. The NCDs have been rated “CRISIL A+/ Watch Negative (Placed on ‘Rating Watch with Negative Implications)” for an amount of Rs 5,000 million by CRISIL Ratings Limited.
3. Coupon rates are good.
4. Its total capital adequacy ratio March 31, 2024, computed on the basis of applicable NHB requirements was 39.05%, March 31, 2023, computed on the basis of applicable NHB requirements was 32.06%. Its gross NPAs and net NPAs as a percentage of Loan Book was 1.69% and 1.19% respectively as at March 31, 2024, its gross NPAs and net NPAs as a percentage of Loan Book was 1.91% and 1.46% respectively as at March 31, 2023. There has been steady improvement in CRAR during last 3 years.
4. It is always necessary to balance the risk/reward while investing in any NCD. Accordingly, small amount may be invested in this NCD.
