Capri Global to Raise 5 Billion Rupees in First Bond Sale

The non-banking financial company CAPRI GLOBAL CAPITAL LTD is launching its maiden public bond issue in India, seeking to raise 5 billion rupees ($54.05 million). This issuance represents the first tranche of a larger 20 billion-rupee plan as the firm pivots its funding strategy away from bank loans and toward the debt markets this fiscal year. Managing Director Rajesh Sharma noted that the company is looking to establish a recurring presence in the public debt space.

We aim to launch a couple of public issues in the financial year, once the first issue sees success.

The bond offering features a range of maturities, including two, three, five, and 10-year tenors. Annual coupon rates are set at 9.00% for the two-year bonds, 9.15% for the three-year, 9.30% for the five-year, and 9.50% for the 10-year maturity. Investors also have the option for monthly interest payouts on the three- and five-year bonds, which offer slightly lower rates of 8.80% and 8.93%, respectively, resulting in effective yields of 9.15% and 9.30%.

The issuance is rated AA by Acuite Ratings and Infomerics Valuation, with the subscription period beginning on April 15. Capri Global Capital plans to utilize the proceeds for on-lending and meeting interest payments on existing debt. This move aligns with a broader trend in the Indian market, where public debt issuance reached 107 billion rupees in the previous financial year, up from 81.5 billion rupees in fiscal 2025.

With assets under management currently standing at approximately 300 billion rupees, the company is focused on diversifying its capital structure.

Apart from the public issue, we will also continue to tap the private placement and commercial paper market.

Currently, capital market borrowings account for roughly 20% of the company's total debt. Sharma indicated that the goal is to increase this share to between 40% and 50% as the firm deepens its engagement with bond investors.