Shriram Fin’s fresh NCDs may see 30-40 bps lower rate

"WE ARE NOT IN A HURRY TO RAISE RESOURCES AT THIS STAGE BECAUSE WE FIRST NEED CLARITY ON THE TIMING OF THE CAPITAL INFUSION"

- SUBRATA PANDA

Following the upgrade to ‘AAA’, Shriram Finance's cost of funds on fresh nonconvertible debentures (NCD) issuances could fall below 8 per cent, giving it a 30-40 basis points advantage over its current issuance rates.

However, the lender is not in a hurry to raise additional funds until the end of the current financial year (FY26), as it is awaiting capital infusion from MUFG Bank, which is expected to take three to four months, said Umesh Revankar, executive vice-chairman of Shriram Finance to Business Standard.