Muthoot Fincorp plans to raise ₹4,000cr via IPO in India
What's the story
Muthoot Fincorp's board has approved a plan to raise up to ₹4,000 crore through an initial public offering (IPO). The proposed IPO will be a fresh issue of equity shares with a face value of ₹10 each. However, the company said that the issue is subject to market conditions and regulatory approvals among other clearances.
Corporate restructuring
Board approves share split and NCD issuance
Along with the IPO, Muthoot Fincorp's board also approved a share split. The plan is to subdivide each equity share of face value ₹10 into five equity shares of face value ₹2 each. The company also plans to raise funds through public issuance of non-convertible debentures (NCDs) worth up to ₹4,000 crore from July 1, 2026, to June 30, 2027.
Funding strategy
Plan to raise funds through private placement of NCDs
The board of Muthoot Fincorp has approved a plan to raise up to ₹4,000 crore through private placement of NCDs, perpetual debt instruments, and subordinated debt. This is subject to shareholder approval. The company has empowered the Stock Allotment Committee with powers related to issuance and allotment of securities from time to time.
Financial overview
Fundraising through commercial papers
Muthoot Fincorp has also approved fundraising through commercial papers, with an overall issuance limit of ₹30,000 crore, and a maximum outstanding limit of ₹10,000 crore at any point in time. As of March 2026, the company's standalone business had an AUM of ₹56,185.10 crore, PAT of ₹1,640.21 crore and revenue of ₹8,364.28 crore.