Muthoot Microfin's ₹15 Billion Plan: A Game-Changer for Financial Empowerment

Image Source: PSU Connect

Muthoot Microfin, one of the top microfinance companies under the Muthoot Pappachan Group, has said it plans to raise up to ₹15 billion in FY 2025-26 through issue of Non-Convertible Debentures (NCDs). This strategic step is to further strengthen its financial resources and reach out to the underserved segment.

Key Highlights:

Purpose of Issuance: The proceeds from the NCDs will be used to augment working capital and finance onward lending, with a specific focus on empowering women entrepreneurs and financial inclusion.
Market Strategy: Muthoot Microfin intends to access public markets, taking advantage of its high credit ratings to mobilize investors. The NCDs are likely to provide competitive interest rates, thus making them an attractive investment opportunity.
Operational Impact: The issuance supports the company's vision to expand its operations and consolidate its leadership position in the microfinance industry.
Leadership Vision: Thomas John Muthoot, Chairman of Muthoot Pappachan Group, stressed the significance of this initiative in fueling sustainable growth and making a positive difference in millions of lives.
Investor Confidence: With its rich history of over 133 years, Muthoot Microfin's sound governance and operational prowess continue to generate confidence among stakeholders.