Chanakya

Paisalo Digital NCD August 2026 Review

NCD Issue Opens on 7 August 2026
NCD Issue Closes on 20 August 2026

About Paisalo Digital Limited

Paisalo Digital Limited, incorporated in 1992, is an RBI-registered, non-deposit-taking NBFC classified in the Middle Layer. The company provides financial services to micro-entrepreneurs, MSMEs and underserved customers across rural and semi-urban India, with a strong focus on women borrowers.

Its principal products include Micro Enterprise Loans, MSME and business loans, along with Business Correspondent services offered in partnership with public-sector banks. These services include account opening, deposits, remittances, cash transactions, pension products, micro-insurance, enrolment in government social-security schemes, small-value loans and loan recovery.

As of 31 March 2026, Paisalo Digital operated across 22 states and union territories through 5,299 touchpoints, comprising 422 branches, 3,381 distribution points and 1,496 customer-service points. The company served approximately 16 million customers.

More information is available on the official Paisalo Digital website.


Paisalo Digital NCD Rating

S.No. Rating Agency NCD Rating Outlook Safety Degree Risk Degree
1 Brickwork Ratings India Pvt. Ltd. BWR AA Stable High degree of safety Very low credit risk

The BWR AA/Stable rating indicates a high degree of safety regarding the timely servicing of financial obligations and very low credit risk. However, AA-rated NCDs carry higher risk than AAA-rated securities and are not equivalent to bank fixed deposits or government securities.

Brickwork Ratings has cited Paisalo Digital’s established franchise, strong capitalisation, experienced management, comfortable liquidity and healthy asset quality as supporting factors. The company’s ability to maintain asset quality while expanding its loan book remains an important monitorable factor. The rating details are available in the official Brickwork Ratings rationale.

Paisalo Digital NCD August 2026 Details

Particulars Details
Issue Open 7 August 2026
Issue Close 20 August 2026
Security Name Paisalo Digital Limited
Security Type Secured, Redeemable, Non-Convertible Debentures
Shelf Issue Size Rs. 900.00 Crore
Base Issue Size Rs. 150.00 Crore
Oversubscription Option Rs. 150.00 Crore
Tranche I Issue Size Rs. 300.00 Crore
Issue Price Rs. 1,000 per NCD
Face Value Rs. 1,000 per NCD
Minimum Lot Size 10 NCDs
Minimum Investment Rs. 10,000
Market Lot 1 NCD
Listing At BSE
Basis of Allotment First Come, First Served
Debenture Trustee Axis Trustee Services Ltd.
Lead Manager Tipsons Consultancy Services Pvt. Ltd.
Registrar Alankit Assignments Ltd.

The official issue documents, including the Shelf Prospectus, Tranche I Prospectus and addendum, are available through Paisalo Digital’s investor-relations page.

The issue may close earlier if it receives sufficient subscription. Investors seeking a particular series should avoid waiting until the final day.

Paisalo Digital NCD Allocation

Investor Category Allocation
Institutional 25.00%
Non-Institutional 25.00%
HNI 25.00%
Retail 25.00%
Total 100.00%

The issue provides an equal allocation of 25% to each investor category. Allotment will be undertaken on a first-come, first-served basis, subject to the final terms of the issue.


Paisalo Digital NCD Coupon Rates

Particulars Series 1 Series 2 Series 3 Series 4 Series 5 Series 6
Interest Payment Monthly Monthly Monthly Annual Monthly Annual
Nature Secured Secured Secured Secured Secured Secured
Tenor 18 Months 24 Months 36 Months 36 Months 60 Months 60 Months
Coupon Rate 9.00% 9.15% 9.50% 9.92% 10.00% 10.47%
Effective Yield 9.38% 9.53% 9.92% 9.91% 10.46% 10.46%
Amount on Maturity per NCD Rs. 1,000 Rs. 1,000 Rs. 1,000 Rs. 1,000 Rs. 1,000 Rs. 1,000

Series 1 to Series 3 and Series 5 provide monthly interest, making them relevant for investors seeking regular income. Series 4 and Series 6 provide annual interest.

Series 6 offers the highest coupon of 10.47% per annum, while Series 5 offers a 10.00% monthly coupon and an effective yield of 10.46%. Both series require investors to accept five years of exposure to the issuer’s credit risk.

The highest coupon should not be the sole reason for selecting a series. Investors must also consider the tenure, frequency of interest payments, taxation and possible secondary-market liquidity.

Which Paisalo Digital NCD Series Is Best?

Investor Requirement Relevant Series Chanakya View
Shortest investment period Series 1 – 18 Months Lower yield but shorter credit exposure
Monthly income with moderate tenure Series 2 – 24 Months Suitable for relatively cautious income seekers
Best balance of yield and tenure Series 3 – 36 Months 9.92% effective yield with monthly income
Annual income for three years Series 4 – 36 Months Suitable for investors not requiring monthly cash flow
Highest monthly income Series 5 – 60 Months Attractive yield but long credit exposure
Highest annual coupon Series 6 – 60 Months 10.47% coupon with annual payment

Chanakya Preference: Series 3 appears to offer the most balanced combination of monthly income, effective yield and tenure. Series 5 may suit investors seeking higher monthly income, while Series 6 may be considered by investors comfortable receiving interest annually.


Objects of the NCD Issue

S.No. Objects
1 Onward lending and financing activities
2 Repayment of principal and interest on existing borrowings
3 General corporate purposes

The proceeds will support Paisalo Digital’s lending activities and liability management. Expanding the loan book may increase future income, but it also requires disciplined underwriting, collection efficiency and maintenance of asset quality.


Paisalo Digital Financial Information

Particulars (Rs. Crore) FY26 FY25 FY24
Assets 6,191.66 5,086.12 3,903.44
Total Income 917.41 734.83 605.04
Profit After Tax 234.69 197.69 177.02
Net Worth 1,792.98 1,534.98 1,329.42
Total Borrowings 3,117.50 2,377.84 1,828.13

Chanakya Interpretation

Paisalo Digital reported healthy growth during FY26. Total income increased by 25% to Rs. 917.41 crore, while PAT rose by 19% to Rs. 234.69 crore. Assets increased by approximately 22%, and net worth grew by nearly 17%.

The company’s growing income, profits and net worth support its debt-servicing capacity. However, total borrowings increased by approximately 31% to Rs. 3,117.50 crore, faster than the growth in net worth. Investors should therefore monitor leverage, borrowing costs, collection efficiency and asset quality.


Paisalo Digital NCD Subscription Status

Live subscription data was not available at the time of preparing this review. Investors should check the latest category-wise subscription figures before applying.

Strong subscription may lead to early closure or reduced allotment. However, subscription demand alone should not be treated as an indicator of credit quality or future secondary-market performance.


Key Strengths

BWR AA/Stable rating, indicating high safety and very low credit risk.

✅ Secured NCDs backed by a charge over identified company assets.

✅ Coupon rates of up to 10.47% per annum.

✅ Minimum investment of only Rs. 10,000.

✅ Operations across 22 states and union territories.

✅ Large network of 5,299 customer touchpoints.

✅ Approximately 16 million customers across rural and semi-urban India.

✅ FY26 total income increased by 25%, while PAT rose by 19%.

✅ Established relationships with public-sector banks through the Business Correspondent model.

✅ Monthly and annual interest-payment options.


Key Risks

⚠ AA-rated NCDs carry more credit risk than AAA-rated debt instruments.

⚠ Secured status does not guarantee timely repayment if the issuer faces financial stress.

⚠ Total borrowings increased by approximately 31% during FY26.

⚠ Rapid loan-book expansion may create asset-quality and collection risks.

⚠ The company serves micro-enterprises and underserved borrowers, who may be more vulnerable to economic disruptions.

⚠ Five-year series create longer exposure to interest-rate and issuer-specific credit risks.

⚠ Listed NCDs may experience limited secondary-market liquidity.

⚠ NCD interest is taxable according to the investor’s applicable income-tax slab.

⚠ These NCDs are not covered by bank deposit insurance.


Address of the Company

Paisalo Digital Limited
CSC, Pocket 52, C.R. Park
Near Police Station
New Delhi – 110019
Phone: +91 562-4028888
Email: cs@paisalo.in

NCD Registrar

Alankit Assignments Ltd.
Phone: 011-42541234 / 23541234 / 42541201
Email: rta@alankit.com

NCD Lead Manager

Tipsons Consultancy Services Pvt. Ltd.

Paisalo Digital NCD August 2026 Review

Paisalo Digital NCD August 2026 offers a combination of an AA/Stable credit rating, secured structure and yields of up to 10.46%. Compared with BBB-rated NCD issues, Paisalo Digital offers a stronger credit profile, although the available returns are correspondingly lower.

The company has a diversified operating network, an established Business Correspondent model, growing income and healthy profitability. Its large rural and semi-urban customer base provides growth opportunities as financial inclusion increases across India.

The key concern is the rapid growth in borrowings, which increased to Rs. 3,117.50 crore in FY26. The company must maintain collection efficiency and asset quality while expanding its loan portfolio.

The issue may be suitable for moderate-risk investors seeking regular income above many traditional fixed-income products. Nevertheless, investors should avoid concentrating a substantial part of their debt portfolio in one NBFC issuer.


Who Should Invest in Paisalo Digital NCD?

Investor Type Suitability
Investors seeking monthly income 🟢 Suitable
Investors seeking returns above many bank FDs 🟢 May Consider
Conservative investors seeking AAA-level safety 🟡 Consider higher-rated alternatives
Investors comfortable with AA-rated NBFC debt 🟢 Suitable
Investors requiring immediate liquidity 🔴 Not Suitable
Investors with a diversified debt portfolio 🟢 May Consider

Frequently Asked Questions

What is the Paisalo Digital NCD August 2026 issue?
It is a public issue of secured, redeemable, non-convertible debentures under a Rs. 900 crore Shelf Prospectus. Tranche I has a base size of Rs. 150 crore and an oversubscription option of Rs. 150 crore, taking the total tranche size to Rs. 300 crore.

What is the minimum investment in Paisalo Digital NCD?
The minimum application is 10 NCDs of Rs. 1,000 each, requiring an investment of Rs. 10,000.

What is the highest coupon rate offered by Paisalo Digital NCD?
Series 6 offers the highest coupon of 10.47% per annum for 60 months with annual interest payments.

Which Paisalo Digital NCD series offers monthly interest?
Series 1, Series 2, Series 3 and Series 5 provide monthly interest payments.

What is the credit rating of Paisalo Digital NCD?
The NCD is rated BWR AA/Stable by Brickwork Ratings, indicating a high degree of safety and very low credit risk.

Is Paisalo Digital NCD secured?
Yes. The NCDs are secured by a charge over identified assets. However, secured NCDs still carry credit, recovery and liquidity risks.

When will Paisalo Digital NCD close?
The issue is scheduled to close on 20 August 2026, although it may close earlier according to the offer terms.

Can investors sell Paisalo Digital NCD before maturity?
The NCDs are proposed to be listed on BSE and may be sold after listing. However, the actual selling price and liquidity will depend on market demand, interest rates and the issuer’s credit profile.

Is Paisalo Digital NCD better than a bank fixed deposit?
Paisalo Digital NCD may offer a higher return than many bank fixed deposits, but it also carries higher credit and liquidity risks and is not covered by deposit insurance.


Chanakya Final View

Paisalo Digital NCD August 2026 offers an attractive combination of an AA/Stable rating, secured structure, established NBFC franchise and yields of up to 10.46%. Its expanding distribution network, public-sector bank partnerships and growing profitability strengthen the investment case.

Series 3 provides a balanced option for investors seeking monthly income with a three-year tenure. Investors willing to accept a five-year commitment may consider Series 5 for monthly income or Series 6 for the highest annual coupon.

Rising borrowings, microfinance exposure and possible secondary-market liquidity constraints remain important risks. Investors should restrict their exposure and diversify across issuers and fixed-income instruments.

Chanakya Recommendation: 🟢 APPLY WITH LIMITED ALLOCATION

Suitable for moderate-risk income investors, subject to portfolio diversification and acceptance of NBFC credit risk.

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