The Tourism Finance Corporation of India Limited (TFCI) on Wednesday raised resources through market-linked debentures (MLDs).
The issue size has been set at INR 250 million with a green shoe option. The show was well received by the market and was underwritten for 400 million INR, including a green shoe of 150 million INR. Debentures issued under a private placement are expected to mature in 36 months.
Anirban Chakraborty, Managing Director and CEO of TFCI, said it was the very first such show in the company’s history. The funds thus raised will be used to accelerate growth plans against the backdrop of the recovery observed in various segments of the hotel sector. He added that the recent Rs. 65 crore preferred equity allocation would further improve capital adequacy from the last reported ROC of 44.38% and the company would now like to sweat equity. The objective of this program was to diversify the sources of financing of the company, he added.
TFCI is a systemically important, non-depository NBFC headquartered in New Delhi. It mainly finances projects in the hospitality sector and prides itself on having helped renowned assets across the country. As of September 30, 2021, it declared INR 19,110 million assets under management with a half-yearly PAT of INR 430 million.
