U GRO Capital Limited, Issue Rating: Proposed NCD issue has been rated “ACUITE A+ (read as ACUITE A Plus) (Outlook: Stable)” for an amount of Rs. 200 crore by Acuite Ratings and Research Limited vide their rating letter dated March 04, 2022 and revalidated vide their letter dated March 24, 2022
Issue Subscription details: Issue Opens on Thursday April 07, 2022 and Issue Closes on May 06, 2022*
Coupon / Interest Rate applicable on the NCDs:
Series I: 10.00% (ten percent) per annum payable quarterly (10.37% (ten decimal three seven percent) XIRR)
Series II: 10.15% (ten decimal one five percent) per annum payable monthly (10.62% (ten decimal six two percent) XIRR)
Series III: 10.40% (ten decimal four zero percent) per annum payable monthly (10.90% (ten decimal nine zero percent) XIRR
Tenure of the Series:
Series I: 18 (Eighteen) months
Series II: 27 (Twenty Seven) months
Series III: 36 (Thirty Six) months from
Redemption date:
Series I: The date occurring on expiry of 18 (Eighteen) months from the Deemed Date of Allotment, and as set out under Annexure I of the Prospectus
Series II: The date occurring on expiry of 27 (Twenty Seven) months from Deemed Date of Allotment, and as set out under Annexure I of the Prospectus
Series III: The date occurring on expiry of 36 (Thirty Six) months from Deemed Date of Allotment, and as set out under Annexure I of the Prospectus
The NCDs are proposed to be listed on BSE Limited and National Stock Exchange of India Limited
U Gro Capital Limited (“U Gro Capital”/ “Company”) a non-deposit taking systemically important NBFC registered with the RBI has filed a prospectus dated March 30, 2022, with Registrars of Companies for public issue of rated, secured, senior, listed, transferable, redeemable, non-convertible debentures of the face value of Rs. 1,000 each (“NCDs”) for an amount of Rs. 5000 lakhs (“Base Issue Size”) with an option to retain over-subscription upto Rs. 5,000 lakhs, aggregating overall issue size up to Rs. 10,000 lakhs. (“The Issue”)
The equity shares of the company are listed on NSE and BSE
The company proposes to utilize the funds towards funding (i) at least 75% of the total estimated net proceed for the purpose of onward lending, financing, and for repayment of interest and principal of existing borrowings of the company and (ii) upto 25% of the total estimated net proceed towards general corporate purposes.
The NCDs proposed to be issued under the Issue have been rated “ACUITE A+ (read as ACUITE A Plus) (Outlook: Stable)” for an amount of Rs. 200 crore by Acuite Ratings and Research Limited vide their rating letter dated March 04, 2022 and was revalidated vide letter dated March 24, 2022.
The company intends to raise fund through issue of Non-Convertible Debenture in three series and payment of Coupon/Dividend will be payable on quarterly basis in Series I and on monthly basis in Series II and Series III.
Sundae Capital Advisors Private Limited, Tipsons Consultancy Services Private Limited and Trust Investment Advisors Private Limited are the Lead Managers to the Issue.
MITCON Credentia trusteeship Services Limited (formerly known as MITCON Trusteeship Services Ltd) is the Debenture Trustee to the Issue.
Despite the challenges faced during the pandemic year, company has received various recognitions and awards including, (i) featuring in the Top 5 Digital / Fintech Lending Companies for MSMEs by BW Disrupt & IBS Intelligence, (ii) ET Best BFSI Brand of the year award for FinTech Category, (iii) Best MSME Lending Company by World Leadership Congress and Awards, (iv) Quick Loan Approval Award and Best Lending Tech of the year Award by National Award for Excellence in Financial Services Marketing and few others.
About U GRO Capital Ltd.:
U GRO Capital is a non-deposit-taking systemically important NBFC registered with the RBI and the equity shares of our Capital Company are listed on NSE and BSE. Our mission is to provide access to financing to the underserved MSME sector, which is critical to Indian economic growth and employment creation, and yet suffers from a chronic lack of affordable, efficient and sustainable credit availability. MSMEs represent the most important organic method by which the country’s impoverished can come out of the so-called ‘Poverty Trap’. Despite the challenges faced during the pandemic year, our Company has received various recognitions and awards including, (i) featuring in the Top 5 Digital / Fintech Lending Companies for MSMEs by BW Disrupt & IBS Intelligence, (ii) ET Best BFSI Brand of the year award for FinTech Category, (iii) Best MSME Lending Company by World Leadership Congress and Awards, (iv) Quick Loan Approval Award and Best Lending Tech of the year Award by National Award for Excellence in Financial Services Marketing and few others.
*The Issue shall remain open for subscription on Working Days from 10 a.m. to 5 p.m. (Indian Standard Time) during the period indicated in the Prospectus, except that the Issue may close on such earlier date or an extended date as may be decided by the Board of Directors of our Company or the Investment and Borrowing Committee, subject to relevant approvals. In the event of early closure or extension of the Issue, our Company shall ensure that notice of the same is provided to the prospective investors through an advertisement in a daily national newspaper with wide circulation on or before such earlier or initial date of Issue closure.
For further details, please refer to the Prospectus dated March 30, 2022.
Disclaimer:
THE ISSUER ACCEPTS NO RESPONSIBILITY FOR STATEMENTS MADE OTHER THAN IN THIS PROSPECTUS OR IN ADVERTISEMENT OR ANY OTHER MATERIAL ISSUED BY OR AT THE INSTANCE OF OUR COMPANY IN CONNECTION WITH THE ISSUE OF THE NCDS AND ANYONE PLACING RELIANCE ON ANY OTHER SOURCE OF INFORMATION WOULD BE DOING SO AT THEIR OWN RISK.
Disclaimer Statement of Acuite Ratings & Research Limited
AN ACUITÉ RATING DOES NOT CONSTITUTE AN AUDIT OF THE RATED ENTITY AND SHOULD NOT BE TREATED AS A RECOMMENDATION OR OPINION THAT IS INTENDED TO SUBSTITUTE FOR A FINANCIAL ADVISER’S OR INVESTOR’S INDEPENDENT ASSESSMENT OF WHETHER TO BUY, SELL OR HOLD ANY SECURITY. ACUITÉ RATINGS ARE BASED ON THE DATA AND INFORMATION PROVIDED BY THE ISSUER AND OBTAINED FROM OTHER RELIABLE SOURCES. ALTHOUGH REASONABLE CARE HAS BEEN TAKEN TO ENSURE THAT THE DATA AND INFORMATION IS TRUE, ACUITÉ , IN PARTICULAR, MAKES NO REPRESENTATION OR WARRANTY, EXPRESSED OR IMPLIED WITH RESPECT TO THE ADEQUACY, ACCURACY OR COMPLETENESS OF THE INFORMATION RELIED UPON. ACUITÉ IS NOT RESPONSIBLE FOR ANY ERRORS OR OMISSIONS AND ESPECIALLY STATES THAT IT HAS NO FINANCIAL LIABILITY WHATSOEVER FOR ANY DIRECT, INDIRECT OR CONSEQUENTIAL LOSS OF ANY KIND ARISING FROM THE USE OF ITS RATINGS. ACUITÉ RATINGS ARE SUBJECT TO A PROCESS OF SURVEILLANCE WHICH MAY LEAD TO A REVISION IN RATINGS AS AND WHEN THE CIRCUMSTANCES SO WARRANT. PLEASE VISIT OUR WEBSITE (WWW.ACUITE.IN) FOR THE LATEST INFORMATION ON ANY INSTRUMENT RATED BY ACUITÉ, ACUITÉ ’S RATING SCALE AND ITS DEFINITIONS.
Disclaimer Clause of NSE
AS REQUIRED, A COPY OF THIS OFFER DOCUMENT HAS BEEN SUBMITTED TO THE NATIONAL STOCK EXCHANGE OF INDIA LIMITED (HEREINAFTER REFERRED TO AS NSE). NSE HAS GIVEN VIDE ITS LETTER REF.: NSE/LIST/C/2022/0247 DATED MARCH 25, 2022, GIVEN PERMISSION TO THE ISSUER TO USE THE EXCHANGE’S NAME IN THIS OFFER DOCUMENT AS ONE OF THE STOCK EXCHANGES ON WHICH THIS ISSUER’S SECURITIES ARE PROPOSED TO BE LISTED. THE EXCHANGE HAS SCRUTINISED THIS OFFER DOCUMENT FOR ITS LIMITED INTERNAL PURPOSE OF DECIDING ON THE MATTER OF GRANTING THE AFORESAID PERMISSION TO THIS ISSUER. IT IS TO BE DISTINCTLY UNDERSTOOD THAT THE AFORESAID PERMISSION GIVEN BY NSE SHOULD NOT IN ANY WAY BE DEEMED OR CONSTRUED THAT THE OFFER DOCUMENT HAS BEEN CLEARED OR APPROVED BY NSE; NOR DOES IT IN ANY MANNER WARRANT, CERTIFY OR ENDORSE THE CORRECTNESS OR COMPLETENESS OF ANY OF THE CONTENTS OF THIS OFFER DOCUMENT; NOR DOES IT WARRANT THAT THIS ISSUER’S SECURITIES WILL BE LISTED OR WILL CONTINUE TO BE LISTED ON THE EXCHANGE; NOR DOES IT TAKE ANY RESPONSIBILITY FOR THE FINANCIAL OR OTHER SOUNDNESS OF THIS ISSUER, ITS PROMOTER, ITS MANAGEMENT OR ANY SCHEME OR PROJECT OF THIS ISSUER.
Disclaimer Clause of BSE
BSE LIMITED (“THE EXCHANGE”) HAS GIVEN VIDE ITS LETTER DATED MARCH 25, 2022, PERMISSION TO THIS COMPANY TO USE THE EXCHANGE’S NAME IN THIS OFFER DOCUMENT AS ONE OF THE STOCK EXCHANGES ON WHICH THIS COMPANY’S SECURITIES ARE PROPOSED TO BE LISTED. THE EXCHANGE HAS SCRUTINISED THIS OFFER DOCUMENT FOR ITS LIMITED INTERNAL PURPOSE OF DECIDING ON THE MATTER OF GRANTING THE AFORESAID PERMISSION TO THIS COMPANY. THE EXCHANGE DOES NOT IN ANY MANNER: A. WARRANT, CERTIFY OR ENDORSE THE CORRECTNESS OR COMPLETENESS OF ANY OF THE CONTENTS OF THIS OFFER DOCUMENT; OR B. WARRANT THAT THIS COMPANY’S SECURITIES WILL BE LISTED OR WILL CONTINUE TO BE LISTED ON THE EXCHANGE; OR C. TAKE ANY RESPONSIBILITY FOR THE FINANCIAL OR OTHER SOUNDNESS OF THIS COMPANY, ITS PROMOTER, ITS MANAGEMENT OR ANY SCHEME OR PROJECT OF THIS COMPANY; AND IT SHOULD NOT FOR ANY REASON BE DEEMED OR CONSTRUED THAT THIS OFFER DOCUMENT HAS BEEN CLEARED OR APPROVED BY THE EXCHANGE. EVERY PERSON WHO DESIRES TO APPLY FOR OR OTHERWISE ACQUIRES ANY SECURITIES OF THIS COMPANY MAY DO SO PURSUANT TO INDEPENDENT INQUIRY, INVESTIGATION AND ANALYSIS AND SHALL NOT HAVE ANY CLAIM AGAINST THE EXCHANGE WHATSOEVER BY REASON OF ANY LOSS WHICH MAY BE SUFFERED BY SUCH PERSON CONSEQUENT TO OR IN CONNECTION WITH SUCH SUBSCRIPTION/ACQUISITION WHETHER BY REASON OF ANYTHING STATED OR OMITTED TO BE STATED HEREIN OR FOR ANY OTHER REASON WHATSOEVER.
Disclaimer Statement of RBI
A COPY OF THIS PROSPECTUS HAS NOT BEEN FILED WITH OR SUBMITTED TO THE RESERVE BANK OF INDIA (“RBI”). IT IS DISTINCTLY UNDERSTOOD THAT THIS PROSPECTUS SHOULD NOT IN ANY WAY BE DEEMED OR CONSTRUED TO BE APPROVED OR VETTED BY RBI. RBI DOES NOT ACCEPT ANY RESPONSIBILITY OR GUARANTEE ABOUT THE PRESENT POSITION AS TO THE FINANCIAL SOUNDNESS OF THE ISSUER OR FOR THE CORRECTNESS OF ANY OF THE STATEMENTS OR REPRESENTATIONS MADE OR OPINIONS EXPRESSED BY THE ISSUER AND FOR DISCHARGE OF LIABILITY BY THE ISSUER. RBI NEITHER ACCEPTS ANY RESPONSIBILITY NOR GUARANTEE FOR THE PAYMENT OF ANY AMOUNT DUE TO ANY INVESTOR IN RESPECT OF THE PROPOSED NCDS.
This article was shared with Prittle Prattle News as a Press Release.
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