Magma Fincorp gets nod to raise funds up to Rs 500 crore

Magma Fincorp has received an approval for raising funds/ resources in one or more tranches up to an aggregate of Rs 500 crore by issuance of eligible securities and another sum not exceeding Rs 2,200 crore in one or more tranches. The board of directors at its meeting held on May 07, 2014 has approved for the same. The board has also delegated the authority to Committee of Directors to deal with all the matters connected thereto. The company will raise funds by way of issuance of securities in the nature of non convertible debt securities, that is to say, secured debentures, unsecured debentures, bonds, subordinated debt securities, covered bonds, or other debt securities, whether constituting a charge (including in the nature of pledge) on any specific or general assets of the company or not and other applicable legislations, subject however to the approval of the shareholders and such other approvals and intimations/filings as may be required. Magma Fincorp is a non-deposit taking non-banking finance company (NBFC), registered with the Reserve Bank of India (RBI) as an asset finance company. The company, having started operations over two decades back, is listed on the Bombay Stock Exchange and the National Stock Exchange in India.