Stock to watch: Paisalo Digital Limited, a leading non-deposit-taking NBFC, has successfully raised ₹1,800 crore through the issuance of secured Foreign Currency Convertible Bonds (FCCBs), the company announced on December 6.
The FCCB Committee of the small-cap stock under ₹100, during a meeting held at the company’s registered office in New Delhi, approved the allotment of USD 50 million in 7.5 per cent secured FCCBs, maturing in 2029. The bonds are convertible into equity shares at a conversion price of ₹45.33 per bond, with each equity share having a face value of Re 1.
Paisalo Digital share price closed in the red, down 0.18 per cent, on December 6, on BSE.
Paisalo Digital share price target
The stock has corrected 78.6 per cent from its previous market rally and turned from its 50-month moving average. “This retracement coincides with a major rising trend line,” Anand Rathi analysts noted in the report. Brokerage firm Anand Rathi Investment Services sees a 20.6 per cent upside for Paisalo Digital shares.
The company retained an over-allotment option to issue up to USD 25 million more FCCBs within 60 days.
Funds will be used to further Paisalo’s vision of empowering India’s under-banked population through accessible and inclusive financial solutions.
The FCCBs received strong participation from global fixed-income funds and international credit institutions.
Santanu Agarwal, Deputy Managing Director of Paisalo Digital, said, “The issuance of our first FCCB marks a pivotal step in bolstering our borrowing profile and accelerating growth. We are committed to driving innovation and transforming the financial services landscape, strongly focusing on empowering under-banked India and fostering inclusive growth,” the company said.
This move emphasizes Paisalo Digital’s commitment to bridging the credit gap and fostering nationwide financial inclusion. The company continues to build on its robust distribution network across 22 states, servicing over 6.5 million customers through 3,275 touchpoints.
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