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Muthoot Fincorp’s non-convertible debentures (NCDs) were purchased by the State Bank of India for Rs 200 crore.
The flagship company of 136-year-old Muthoot Pappachan Group announced on Tuesday that the loan offer has a five-year maturity with interest payments made half-yearly.
However, it did not announce the issue’s price.
According to Shaji Varghese, CEO of the company, the proceeds from the NCD offering will be used for future lending, business operations, and additional expansion and growth plans.
Muthoot Fincorp has approximately 3,600 branches across the country and offers among other things, gold loans, small business loans, auto loans, home loans, and loans against property.
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