Public Issue of Secured and Unsecured Redeemable Non- Convertible Debentures of Rs. 115 Cr with an option to retain over subscription upto Rs. 115 Cr aggregating to Rs. 230 Cr by Kosamattam Finance Limited (CREDIT RATING: CARE ‘BB+’ [Double B Plus] by CARE
[wptabtitle] Product Note[/wptabtitle] [wptabcontent]
Kosamattam Finance Limited NCD Issue Highlights
Issuer Kosamattam Finance Ltd - Type of Instrument Secured NCD & UnSecured NCD Issue Open 26 Oct 2015 Issue Close 26 Nov 2015 (with option of early closure or extension) Issue Size 115 Cr. with an option to retain oversubscription of 115 Cr. Total 230 Cr Face Value Rs. 1,000 Min. Application Size 10 Bonds (Rs.10000) & multiply of 1 NCD thereafter (across all series NCD) Interest Annually, Various Option Mode of Allotment D'mat as well as Physical Form Rating CARE - "BB+" (Double B Plus) Listing Proposed on BSE Interest on Application on Amount Allotted Interest on Application on Amount to be refunded
Specific Term of Issue
|Tenor||400 Days||18 M||18 M||36 M||45 M||60 M|
|Coupon Rate- Cat I,II, III||NA||10.50%||NA||11.00%||NA||11.25%|
|Maturity||1111||1000+ accrued Interest||1165.51||1000+ accrued Interest||1500||1000+ accrued Interest|
|Tenor||75 M||75 M|
|Coupon Rate- Cat I,II, III||11.50%||NA|
|Maturity||1000+ accrued Interest||2000|
- The NCDs can applied for allotment in either dmat or physical forms by all categories of investors.
Cheque Details :
Cheque / DD should be drawn in favour of “KOSAMATTAM FINANCE LIMITED -NCD Public Issue “ by all applicant
[wptabtitle] About Issue[/wptabtitle] [wptabcontent]
- Kosamattam Finance Ltd. (KFL/ Company), headquartered in the southern Indian state of Kerala, is registered with RBI as a non-deposit taking, systematically important, NBFC, lending money against pledge of used household gold jewellery (“Gold Loans”) in the state of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Delhi,Maharashtra,Gujarat,Telangana and in the Union Territory of Puducherry.
- The Kosamattam Group was originally founded by Mr. Chacko Varkey (also known as Mr. Nasrani Varkey). His great grandson, Mr. Mathew K. Cherian, the present Chairman and Managing Director of Kosamattam Group is a fourth generation entrepreneur in the family.
- As on December 31, 2014, KFL is having a branch network of 875 branches, largely spread across Southern India. The Gold Loan portfolio of KFL as of November 30, 2014 is comprised of 4,32,530 gold loan accounts, aggregating Rs.1,10,160.97 lacs which is 95.85 % of total loans portfolio.
- Gross non-performing gold loan assets were 0.91%, 0.17%, 0.31% and 0.36% of portfolio under management as of November 30, 2014, March 31, 2014, 2013 and 2012 respectively.
- As of November 30, 2014, the average loan amount advanced by KFL was Rs. 25,469 per loan transaction. All of the Gold Loans have a term of 12 months with an option to early closure. In the financial period ended November 30,2014, the yield on Gold Loan assets was 20.55%.
- In addition to the core business of Gold Loan, KFL also offers fee based ancillary services which includes money transfer services, foreign currency exchange and air ticketing services.
[wptabtitle] Apply[/wptabtitle] [wptabcontent]
WHO CAN APPLY
- Resident Public Financial Institutions as defined in Section 2(72) of the Companies Act 2013, Statutory Corporations including State Industrial Development Corporations, Scheduled Commercial Banks
- Co-operative Banks and Regional Rural Banks, which are authorized to invest in the NCDs
- Provident Funds of minimum corpus of Rs. 2,500 Lacs , Pension Funds of minimum corpus of Rs. 2500 Lacs,Superannuation Funds and Gratuity Fund,which are authorized to invest in the NCDs
- Venture Capital funds and/ or Alternative Investment Funds registered with SEBI
- Insurance Companies registered with the IRDA
- National Investment Fund (set up by resolution no. F. No. 2/3/2005-DDII dated November 23, 2005 of the Government of India and published in the Gazette of India)
- Insurance funds set up and managed by the Indian army, navy or the air force of the Union of India or by the Departmentof Posts, India
- Mutual Funds, registered with SEBI
- Companies falling within the meaning of Section 2(20) of the Companies Act 2013; bodies corporate and societies registered under the applicable laws in India and authorized to invest in the NCDs
- Educational institutions and associations of persons and/or bodies established pursuant to or registered under any central or state statutory enactment; which are authorized to invest in the NCDs
- Trust including Public/private charitable/religious trusts which are authorized to invest in the NCDs
- Association of Persons
- Scientific and/or industrial research organisations, which are authorized to invest in the NCDs
- Partnership firms in the name of the partners
- Limited liability partnerships formed and registered under the provisions of the Limited Liability Partnership Act,2008 (No. 6 of 2009)
- Resident Indian individuals and Hindu undivided families through the Karta aggregating to a value exceeding Rs. 5Lacs
- Resident Indian individuals
- Hindu undivided families throughthe Karta(Applications aggregating to a value not more than Rs. 5 Lacs
[wptabtitle] Objects[/wptabtitle] [wptabcontent]
OBJECTS OF THE ISSUE
The Company is in the business of gold loan financing, and as part of its business operations, it raises/avails funds for onward lending and for repayment of interest and principal of existing loans.
The following table details the objects of the Issue and the amount proposed to be financed from the Net Proceeds:
|Sr.No||Objects of the Fresh Issue||Percentage of amount proposed to be|
financed from Issue Proceeds
|1||Onward lending and for repayment of interest and principal of existing loans||atleast 75%|
|2||General Corporate Purposes*||upto 25%|
*The Net Proceeds will be first utilized towards the Objects mentioned above. The balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the Issue, in compliance with the Debt Regulations.
NCD Kosamattam Finance Ltd Issue Open 26 Oct 2015 Issue Close 20 Nov 2015 Issue Registrar Karvy Computershare Allotment Date 1.12.2015 Listing Date 4.12.2015 Listing Exchange BSE Circular Ref No BSE - 20151203-7 Option I II III IV V VI VII VII COUPON NA 10.50% NA 11.00% NA 11.25% 11.50% NA Period 400 Days 18 M 18 M 36 M 45 M 60 M 75 M 75 M ISIN No INE 403Q07276 INE 403Q07284 INE 403Q07292 INE 403Q07300 INE 403Q07318 INE 403Q07326 INE 403Q08043 INE 403Q08050 BSE Script 935550 935552 935554 935556 935558 935560 935562 935564 Maturity 1111 1000 1165.51 1000 1500 1000 1000 2000 Maturity Date 04.01.2017 31.05.2017 31.05.2017 30.11.2018 31.08.2019 30.11.2020 28.02.2022 28.02.2022 Frequency Cumulative Monthly Cumulative Monthly Cumulative Monthly Monthly Cumulative
[wptabtitle] Subscription [/wptabtitle]
Cat 1 Cat 2 Cat 3 Total Issue Size (Cr) 23 92 115 230 11 Nov 14 Subscribe -- 50.07 134.19 184.26 Unsubscribe 23 41.93 - 45.74 No of time - 0.55 1.17 0.80 3 Nov Subscribe - 40.21 97.07 137.28 Unsubscribe 23 51.79 17.93 92.72 No of times - 0.44 0.65 0.60 2 Nov Subscribe - 35.36 84.70 120.06 Unsubscribe 23 56.64 30.30 109.94 No of Times - 0.38 0.74 0.52 30 Oct Subscribe (Cr.) - 33.41 75.04 108.45 Unsubscribe 23 Cr 58.59 39.96 121.55 No of Times - 0.37 0.66 0.47
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Call Rajendra 7719917444