Arka Fincap to raise Rs 150 crore via public issue

Arka Fincap plans to raise at least Rs 150 crore ($18.00 million) through the public issue of non-convertible debentures, three bankers said on Thursday. The non-banking finance company's public issue will open for subscription on December 7 and will close on December 20.

The issue also has a greenshoe option to retain an additional Rs 150 crore.

The company is offering bonds maturing in 24 months, 36 months and 60 months at an annual coupon of 9.30 per cent, 9.65 per cent and 10.00 per cent, respectively.

Established in 2018, Arka Fincap, an RBI-licensed company and subsidiary of Kirloskar Oil Engines Limited, operates innovative financing solutions. With a borrowing of Rs. 2265 crore from diverse institutions, an AUM of Rs. 3,960 crore, and a Crisil rating of AA (-) for long-term and A1 (+) for short-term borrowings, Arka operates in 17 cities, employing over 300 professionals. 

(With Reuters inputs)