Shriram Transport Finance Company is part of the “SHRIRAM” corporation which has a significant presence in financial services was established in the year 1979 and is registered as a Deposit-taking NBFC with Reserve Bank of India. They are among the leading organized finance provider for the commercial vehicle industry. Including passenger commercial vehicles, multi-utility vehicles, three wheelers, tractors, and construction equipment. They are an end to end provider of finance solutions to the domestic road logistics industry.
At Shriram Finance, credit-worthiness of the Small Truck Owner has always been an article of faith. This faith has guided company journey from pioneering days in financing Small Truck Owners to the present day leadership. Shriram Transport Finance Company leader in Truck Finance and also India’s largest Asset Based Non-Banking Finance Company.
The objective of STFC was to set up the common man a host of products and services that would be useful to him on his path to prosperity. It is estimated that 80% of trucks in the country are in the hands of individuals. The facilities that Shriram Finance provides are profitable vehicle financing business, customer finance, life insurance, general insurance, stock broking, chit funds, distribution of financial products and units of mutual funds.
Shriram Transport Finance Company Limited NCD Details:
Symbol: STFNCD8
Issue Period: 27-Jun-2018 to 20-Jul-2018
Issue Size: Rs.1,00,000 Lakh with an option to retain oversubscription up to Rs. 4,00,000 Lakh aggregating to Rs. 5,00,000 Lakh
Security Type: Secured Redeemable Non-Convertible Debentures
Price: Rs 1000
Face Value: Rs 1000
Market Lot: 1 (one) Bond
Minimum Application Value: 10 (Ten) NCDs (Rs. 10,000) either taken individually or collectively across all series of NCDs and in multiple of 1 NCD
IPO Market Timings: 10.00 a.m. to 5.00 p.m.
Name of the Registrar: Integrated Registry Management Services Private Limited
Lead Managers: Axis Bank Limited, A.K Capital Services Limited, Edelweiss Financial Services Limited, JM Financial Limited and Trust Investment Advisors Private Limited
| Series | S1 – 8.93% 5 years, for Category I and II, *9.03% 5 years for III and IV Investors – Monthly Option |
| S2 – 9.03% 10 years, for Category I and II, *9.13% 10 years for III and IV Investors – Monthly Option | |
| S3 – 9.10% 3 years, for Category I and II, *9.20% 3 years for III and IV Investors – Annual Option | |
| S4 – 9.30% 5 years, for Category I and II, *9.40% 5 years for III and IV Investors – Annual Option | |
| S5 – 9.40% 10 years, for Category I and II, *9.50% 10 years for III and IV Investors – Annual Option | |
| S6 – Payable on Redemption – Rs 1,298.91 for 3 years, for Category I and II, Payable on Redemption – Rs 1,302.49* for 3 years for III and IV Investors – Cumulative Option | |
| S7 – Payable on Redemption – Rs 1,560.30 for 5 years, for Category I and II, Payable on Redemption – Rs 1,567.45* for III and IV Investors – Cumulative Option |
Shriram Transport Finance company is offering 5,00,00,000 NCDs for subscription of face value of Rs. 1,000 each aggregating to Rs. 5,000 crore. The base issue consists of one crore NCDs of face values of Rs 1,000 each aggregating to Rs 1,000 crore with an option to retain over-subscription upto the shelf limit of Rs. 5,000 crore.
Options of investment tenors are 3, 5 and 10 years, with coupon of 9.10% per annum, 9.30% p.a. and 9.40% p.a. respectively with monthly, annual and cumulative payment options.
