Bajaj Finance Ltd. approved raising Rs 10,000 crore through various methods on Thursday, October 5, it said in an exchange filing.

Share Market Live

NSE

India's largest non-bank lender approved raising a sum not exceeding Rs 8,800 crore via a Qualified Institutional Placement (QIP).

Additionally, it has also approved raising a sum not exceeding Rs 1,200 crore through a preferential issue of up to 15.5 lakh warrants convertible into equivalent number of equity shares to its promoter company Bajaj Finserv.

Bajaj Finance will seek shareholder approval for the proposed QIP and the Preferential Issue by convening an Extra Ordinary General Meeting subject to applicable provisions, it said in the exchange filing. However, no timeline has been shared for the said EGM.

Post conversion of those preferential warrants into equity, Bajaj FInserv's share in Bajaj Finance will rise to 52.57 percent from 52.45 percent earlier. The issue price for the same will be determined at a later stage.

Each warrant is convertible into an equivalent number of equity shares within a period of 18 months from the date of allotment. In case the option to convert the warrants into equity shares is not exercised, the warrants will lapse.

For the September quarter, Bajaj Finance reported a 26 percent growth in new loans booked to 85.3 lakh from 67.6 lakh in the same period last year.

The company's Assets Under Management (AUM) grew by 33 percent to nearly Rs 2.9 lakh crore. This was the best AUM growth seen by the company in four years.

Earlier in September, the company had raised Rs 1,195 crore through allotment of 7.85 percent per annum secured redeemable Non-Convertible Debentures (NCDs). It had also raised close to Rs 1,700 crore via NCDs in May.

Shares of Bajaj Finance were trading nearly 1.5 percent up at Rs 7,967.50 apiece around 12.15pm on Friday, October 6.

First Published:Oct 5, 2023 3:42 PM IST