Mumbai (Maharashtra) [India], November 6: Paisalo Digital Limited has successfully completed a notable debt financing initiative by allotting 8,000 Non-Convertible Debentures (NCDs) through a decision ratified by the company's Operations and Finance Committee. This capital raising exercise includes two series of debentures: Series 1 with 5,500 NCDs carrying an annual coupon rate of 8.45% and Series 2 with 2,500 NCDs offering 8.50% per annum. Each debenture has a face value of Rs 1 lakh, cumulatively raising Rs 8 crore in Series 1 and Rs 2.5 crore in Series 2, totaling Rs 10.5 crore aimed at strengthening Paisalo's capital base and financial stability.
The Series 1 NCDs have a tenure of 2 years, maturing on November 6, 2027, while Series 2 debentures extend over 3 years with maturity on November 6, 2028. Both sets are rated, listed, senior, unsecured, redeemable, taxable, and transferable instruments. Investors will receive annual coupon payments, with redemption at par on maturity. This dual-series structure strategically diversifies the company's debt maturity profile, providing investors with options aligned to their investment horizons.
Additionally, on September 10, 2025, the company allotted 5,000 privately placed secured NCDs each valued at Rs 1 lakh, carrying a fixed annual coupon of 10%, payable monthly, and a tenure of 36 months. These debentures are backed by a first-ranking pari-passu charge on loan receivables with a security cover of at least 1.10 times the outstanding principal. The principal redemption is planned in four equal quarterly installments starting from the ninth quarter. Notably, a penal interest of 2% per annum applies in case of payment defaults beyond three months.
From a corporate development standpoint, Paisalo's promoter, Equilibrated Venture CFlow Pvt Ltd, acquired over 31 lakh shares worth approximately Rs 10.9 crore from the open market, signaling confidence in the company's prospects. The company's asset quality remains robust with a Gross Non-Performing Asset (GNPA) ratio of just 0.85% and a strong Capital Adequacy Ratio of 39.5%, reflecting prudent risk management and capitalization.
Paisalo has expanded its outreach significantly, opening 50 new branches and deepening its partnership with State Bank of India to improve credit access for MSMEs and SMEs across 22 states and union territories. This expansion complements the company's core mission to provide accessible, small-ticket loans primarily targeting underserved segments like women and small businesses through a network of nearly 4,000 touchpoints.
The company's strategic initiatives, strong governance, and regulatory compliance underpin continued investor confidence, as reflected in its stock price rising 26% from its 52-week low. Institutional investors such as SBI Life Insurance and LIC maintain stakes of 8.96% and 1.12% respectively.
Paisalo Digital Limited remains focused on leveraging technology and deep customer insights to deliver tailored financial solutions while sustaining healthy asset quality and capitalization, reinforcing its position as a trusted financial partner for India's underserved populations.
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