Equitas Small Finance Bank Limited — Important, 05-12-2024: Updates

Equitas Small Finance Bank has allotted 50,000 Rated, Listed, Unsecured, Subordinated, Redeemable, Non-Convertible Debentures (NCDs) with a face value of ₹1,00,000 each, totaling ₹500 crores. This issuance was conducted through private placement and is designed to be included as Tier II Capital. The debentures have a six-year maturity, set to mature on December 5, 2030, with a coupon rate of 9.6% per annum. Interest payments will occur annually, starting December 5, 2025. This capital raise enhances the bank's financial flexibility and supports its growth strategies. Investors should view this as a positive outlook for the bank's capital position, providing opportunities for stable returns given the relatively attractive coupon rate.