Regency Fincorp raises ₹15 cr via NCDs for lending growth
The nano-cap NBFC allots 15,000 secured NCDs at 13% coupon to Infixin Technologies and Eshiruss Financial Consultants, with staggered repayment over 30 months. The raise is 4.7% of market cap and part of a broader debt push.
— 1 earlier story on Regency Fincorp Ltd. →What's new
- Allotted 15,000 secured NCDs of ₹10,000 face value at 13% annual coupon on private placement.
- Allottees are Infixin Technologies and Eshiruss Financial Consultants.
- Principal repayment staggered across 18th, 24th, and 30th months; security cover at 1.35x.
Why this matters
For a nano-cap NBFC with a market cap of ₹325 cr, a ₹15 cr debt raise is material — it injects fresh capital to expand MSME and digital lending. The 13% coupon is high but reflects the company's risk profile. However, the recurring nature of such issuances (including a ₹10 cr prior NCD and a ₹50 cr term sheet) reduces the surprise factor.
What we're watching
- Whether the ₹50 cr term sheet gets executed in coming months.
- Loan book growth trajectory in the next quarterly report.
- Debt-equity ratio, currently at 0.86, may rise with further borrowings.
The full read
Regency Fincorp has raised ₹15 cr by allotting 15,000 secured NCDs at a 13% annual coupon to Infixin Technologies and Eshiruss Financial Consultants. The 30-month debentures carry a 1.35x security cover on loan receivables and repay in three tranches. It's a bet on growth. For a nano-cap NBFC with a market cap of ₹325 cr, this is a material debt injection at 4.7% of its value, following a prior ₹10 cr NCD and a ₹50 cr term sheet disclosed in June. The steady drumbeat of borrowings suggests management is serious about scaling the lending book, and at a 13% coupon, the cost is high but manageable given the company's 40.7% trailing revenue growth. The next test is whether this translates into faster loan book expansion without stretching the balance sheet — and whether the upcoming quarterly numbers show the new capital at work.
Questions answered
- Why is Regency Fincorp raising debt repeatedly?
- The company is actively diversifying its borrowing base to expand its MSME and digital lending businesses. This NCD follows a prior ₹10 cr issue and a term sheet for up to ₹50 cr.
- How does ₹15 cr compare to Regency's market cap?
- It is about 4.7% of its ₹325 cr market capitalisation, making it a material injection for a nano-cap stock.
- Who are the investors in this NCD?
- The allottees are Infixin Technologies Private Limited and Eshiruss Financial Consultants Private Limited, both identified private investors.
- What is the security cover on these NCDs?
- The NCDs are secured by a 1.35x exclusive charge over the company's performing loan receivables, with a first-ranking pari-passu charge over current and fixed assets if cover drops.
- What is the repayment schedule?
- The NCDs mature in 30 months, with principal repayment staggered: part at 18 months, part at 24 months, and the remainder at 30 months.
Regency Fincorp Ltd.
Latest quarter · Mar 2026
Leverage & growth
Story so far
All notes on REGENCY →- 19 Jun 2026 · 11:21 AM IST Regency Fincorp raises ₹15 cr via NCDs for lending growth
- 17d ago Regency Fincorp is borrowing ₹60 cr to grow its lending book