Mumbai, India – Navi Finserv, a financial services platform led by Sachin Bansal, has successfully raised Rs 150 crore through the issuance of non-convertible debentures (NCDs). This recent fundraising effort saw investments from six individual investors, including prominent members of the Dadachanji Group.
According to regulatory filings with the Registrar of Companies, Navi’s board approved a special resolution to allot 15,000 NCDs at an issue price of Rs 1,00,000 per debenture, resulting in a total consideration of Rs 150 crore. Significant contributions came from Kairus Shavak Dadachanji, Pervin Kairus Dadachanji, and Rishad Kairus Dadachanji, who collectively invested Rs 110 crore. Additionally, Rohit Kapadia, Sandhya Kapadia, and Yash Kapadia invested a combined Rs 40 crore.
Kairus Shavak Dadachanji is the chairman of the Dadachanji Group, a conglomerate that operates several companies, including Kaisha Packaging, Kaisha Lifesciences, and Sovereign Pharma.
In February, Navi announced plans to raise Rs 600 crore through a public issue of NCDs. The firm intends to offer NCDs with maturities of 18, 27, and 36 months, providing yields between 10.47% and 11.19%. The funds raised will be directed towards lending, financing, loan repayments, and general corporate purposes.
A report from The Morning Context indicated that Navi turned to crowdfunding a Rs 250-crore fundraising after the company faced challenges in securing equity capital at a desired valuation. This is not Navi’s first foray into raising funds through NCDs; the company previously raised Rs 600 crore in May 2022 and Rs 500 crore in July 2023.
Navi had filed its draft red herring prospectus (DRHP) in March 2022 with the Securities and Exchange Board of India (SEBI) to raise up to Rs 3,350 crore through an initial public offering (IPO). Despite receiving regulatory approval, the firm postponed its IPO plans due to unfavourable market conditions.
For the quarter ending September 2023 (Q2 FY24), Navi reported Rs 421.5 crore in revenue from operations. According to the company’s unaudited financial statements, it posted a profit of Rs 10.86 crore during the same period.
This strategic move to raise funds via NCDs highlights Navi’s continued efforts to bolster its financial stability and support its growth initiatives in the dynamic financial services sector.
