Capri Global raised $300 million through its debut US dollar bond issue, adding an international funding source to its business.

The non-banking financial company issued senior secured notes maturing in 2029, carrying a fixed coupon of 7.55% a year.

Investor demand ran well ahead of what Capri Global was looking to raise, with the order book crossing $700 million from 64 accounts, taking the issue past 2.3 times oversubscribed.

Barclays, Citi, Deutsche Bank, Emirates NBD and UBS managed the transaction. Investors from the United States took up 49% of the bonds, Asia accounted for 39%, and the rest came from Europe, West Asia and Africa combined.

Most of the buyers were asset and fund managers, who picked up 91% of the issue. Insurance companies took another 5%, with banks and other institutions making up the remaining share.

Fitch Ratings assigned an expected rating of BB- with a stable outlook to the bonds ahead of the sale.

Capri Global’s Managing Director, Rajesh Sharma, said the response from international investors validates the company’s credit strength, and helps diversify its funding across domestic and global markets.

Capri Global runs a retail-focused lending business across gold loans, MSME loans, construction finance and housing finance. As of June 30, its assets under management stood at more than Rs 40,000 crore, after growing 62% over the past year.

The bond sale comes soon after a strong June quarter for the company. In results announced on July 27, consolidated net profit nearly doubled year on year to Rs 353 crore.

Separately, the company has fixed September 4 as the record date for a final dividend of Rs 0.20 per share for the last financial year.

This dollar bond issue marks Capri Global’s entry into offshore capital markets, alongside its regular borrowing routes at home.

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