10.75% Sammaan Capital NCD FEB-2025

Sammaan Capital Limited, A Leading Player in India’s Financial Services Sector, is launching its Tranche III Non-Convertible Debants (NCD) Issue in FEB-2025. With a base issue size of ₹ 100 crus and a green shoe option of ₹ 200 years, this Secure NCD Offering is aimed at Providing Stable Returns to Investors. This article reviews the Sammaan Capital NCD FEB-2025 Issue in Detail, Covering Company Background, Interest Rates, Credit Rating, Financials, Reasons to Invest, Risks, and the Process of Subscribing.

Also read: 10 Mutual Funds Crashed Upto 22% in Last 6 Months – Should You Invest?

About Sammaan Capital Limited

Originally increased as indibulls houseing finance limited, Sammaan Capital underwent a transformation in 2024 to become a non-banking financial company (NBFC). With its Expertise in Credit and Investment Services, The Company Focuses on Providing SECURE Lending Solutions. Headquartered in New Delhi, Sammaan Capital Boasts Robust Financial Services Infrastructure and a Professional Management Team. It is part of indibulls group.

Sammaan Capital NCD FEB-2025-Issue Details

Here are the issue details.

Sammaan Capital NCD FEB-2025-Interest Rates and Tenure

The NCDs are offered Across Multiple Series with Varying Tenures and Interest Rates, Allowing Investors to Select Based On Thei Gir Financial Goals. Key highlights include:

• Coupon rates: Competitive Rates Across Series, With Interest Payouts on Monthly, Annual, or Cumulative Basis.
• Tenure options: Options Range from 24 months to 120 months.

Here are the interest rate and coupon details.

* / ** / *** Maturity Amount would be paid in installments for 3 years, 5 years and 8 years time frame frame is responsible.

Sammaan Capital NCD FEB-2025-Credit Rating

The NCD issue is rated “Crisil Aa/Stable” by Crisil Rating and “(ICRA) AA (Stable)” by ICra Limited. These ratings reflect a high degree of safety Regarding Timely Servicing of Financial Obligations and Low Credit Risk. For more information, refer Sammaan Capital NCD-FEB-2025 Prospectus

Financial overview

Sammaan capital has demonstrated consistent financial performance:

• Assets under management (aum): Substantiial growth over recent years.
• Profitability: Positive Pat Figures Indicate Strong Operational Efficiency.
• Net Worth: Robust capital base ensuring adequate risk coverage.

Why to Invest in Sammaan Capital NCD-FEB-2025?

• High credit ratings : The Crisil Aa/Stable and (ICRA) AA (Stable) Rating Reflect a Strong Assurance of Timely Interest and Principal Payments. These high ratings provide confidence about the creeditworthiness of sammaan capital, making the ncds a safer investment choice for conservative investors.
• Secure NCDs with Strong Asset Backing: The NCDs are secured by a first pari-passu charge on Sammaan Capital’s Financial and Non-Financial Assets. A minimum Security Cover of 1.25 Times Ensures Robust Protection for Investors.
• Diverse Tenure and Interest Payment Options: With tenures ranging from 24 months to 120 months, the NCDS Cater to Both Short-Term and Long-Term Investment Goals. Additionally, Investors Can Choose Between Monthly, Annual, Or Cumulative Interest Payouts, Offering Flexibility Based on Liquidity Needs.
• Attractive Yields Compared to Fixed Deposits: The offered coupon rates are typical Higher Than Bank Fixed Deposit Rates, Making these NCDs an attractive option for there seeking better returns in a fixed-privacy.
• Tax-Efficiency for Certain Investors: Investors Like Corporates or Institutes May Find Tax Advantages in Investing in NCDs Compared to Other Instruments, Depending on their tax brokets and applicable laws.
• Growing Financial Profile of Sammaan Capital: The company has consistently shown growth in its financial metrics, including Profitability and a Well-Capitalized Balance Sheet. This enhances the safety of the NCDs as a low-Risk Investment.

Risk Factors in these NCD’s

1. Interest Rate Risk: While the NCDS offer Fixed Returns, Rising Market Interest Rates Can Make the Returns on these debients less attractive over time. Investors Cold Miss out on Higher-Yielding Opportunities in a Rising Rate Environment.
2. Credit Risk: Despite the high credit ratings, there is Always a Possibility of a Credit Event Affecting the company. Any Downgrade in Credit Rating Due to Unforeseen Financial or Operational Difability
3. Liquidity Risk: Selling ncds in the secondary market before maturity can be challenging if the demand for these instruments is low. This Risk is particularly relevant for long-tenure ncds, where investors might need to Hold Until Maturity to Avoid Capital Loss.
4. Company-Specific Risks
   • Dependence on Market Conditions: As an NBFC, Sammaan Capital’s Business is Sensitive to Changes in Economic Conditions, Interest Rates, and Regulatory Policies.
   • Concentration Risk: A significant portion of its loan book may be concentrated in Specific sector, Increasing Vulnerability to Sectorral Downturns.
5. Regulatory and legal risks: Changes in the regulatory framework governing nbfcs can impact the company’s ability to generate revenue or meet its financial obligations. Any ongoing Litigation or Compliance issues might also Pose Financial Risks.
6. Inflation Risk: The fixed returns from ncds might lose purchasing power if inflation rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rates Rame Sign Fire
7. Default and non-payment risk: Although unlikely due to the company’s credit rating, any disrupt in Sammaan Capital’s Cash Flow Blow Lead to Delayed or Missed Payments to NCD Holders.

Also read: 20 equity mutual funds that delivered positive returns every year in last 10 years

How to Buy Sammaan Capital NCDs?

Investors can apply for these ncds through:

1. Asba process: Via Self-CERTFIED Syndicate Banks (SCSBS).
2. Brokers: Submit Application Forms Through Register Stock Exchange Brokers.
3. Online platforms: Digital channels offering direct NCD subscription options.

Sammaan Capital NCD FEB-2025-Invest or Avoid?

The Sammaan Capital NCD Issue Presents An Opportunity for Investors Looking for Stable and Fixed Returns with Low-Risk Exposure.

However, Potential Risks like Market Volativity and Liquidity Constrants are some of the critical risk factors.

Such NCD’s are best suited for investors who can take risk and who are looking for fixed-investment investments in their portfolio.

Suresh kp is a seasoned financial expert with over 20 years of experience. He is nism Certified Investment Adviser and Research Analyst. For more about his Expertise and Certifications, Visit About Suresh Kp

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