CESC to issue ₹300 crore in redeemable NCDs

CESC Limited's board of directors approved the issuance of 30,000 redeemable, senior, secured, unlisted, rated non-convertible debentures (NCDs), each with a face value of ₹1 lakh, totaling an aggregate of ₹300 crore. This debt issuance will be conducted via private placement, with a deemed allotment date of September 26, 2025, and a maturity date of September 26, 2028, reflecting a three-year redemption tenure.

The NCDs will bear a coupon rate of 3 Months T-Bill Rate + 2.30% p.a., with interest payments scheduled quarterly. The first coupon payment is expected on December 26, 2025. The debt is secured by a first ranking pari passu charge over the company's immovable and movable fixed assets, as well as current assets, through a mortgage document and deed of hypothecation.

A call/put option is available at the end of 12 months from the deemed date of allotment at par. In the event of default on payment, an additional interest of 2% per annum above the coupon rate will be payable.