SBI Purchases Muthoot Fincorp's Rs 200 Cr Non-convertible Debentures

The State Bank of India (SBI) has acquired non-convertible debentures (NCDs) valued at Rs 200 crore issued by Muthoot Fincorp, the flagship entity of the Muthoot Pappachan Group, a 136-year-old establishment. 

The maturity period for the debt issue spans five years, with interest payments scheduled on a half-yearly basis. However, specific details about the pricing of the issue were not disclosed by the company.

Shaji Varghese, the company's CEO, mentioned that the funds raised through the NCD issue will be directed towards various purposes including lending activities, operational needs and furthering expansion and growth initiatives. 

With a nationwide presence boasting over 3,600 branches, Muthoot Fincorp extends a range of financial services encompassing gold loans, small business loans, auto loans, home loans and loans against property, among others.