Muthoot Finance raised $600 million through an External Commercial Borrowing (ECB) issuance in the international bond markets. This being the fifth and final drawdown under the Global Medium-Term Note (GMTN) programme since May 2024, Muthoot has now raised the full $2 billion target.
The bonds, rated BB+ by S&P and Ba1 by Moody's, were priced at 6.37 per cent with a 4.5-year maturity and a 4-year average life.
This is also the company's first bond issuance following credit rating upgrades from S&P (March 2025) and Moody's (April 2025). The funds will be used to expand its lending operations across India.
"The successful ECB highlights our strong growth strategy and sound governance, marking another milestone for the company," George Alexander Muthoot, managing director, Muthoot Group, said.
The issuance drew strong global interest, signalling investor confidence in Muthoot's business fundamentals and growth plans. Investor participation was geographically diverse: 49 per cent from the US, 36 per cent from Asia, and 15 per cent from EMEA (Europe, the Middle East, and Africa).
-- Business Standard
