Fibe issues Non-Convertible Debentures (NCD) and raises ₹30 Crores

At Fibe, the goal is to make financial products more accessible to Indian consumers, keeping security and ease front and centre. As a market leader in simplifying lending solutions for professionals, our inclusive approach to innovation in the fintech sphere requires consistent efforts. We took the next step towards growth by raising more funds to realise our vision while maintaining our asset quality.

To diversify funding sources, Fibe recently issued Non-Convertible Debentures (NCDs) and raised ₹30 Crores. Our NCDs have a BBB+/Stable rating from CARE Ratings Limited, which validates Fibe’s robust balance sheet.

Why do companies issue NCDs?

Non-convertible debentures (NCDs) are types of debt securities that offer fixed returns and are not convertible into shares at maturity. While NCD holders do not share ownership or get a stake in the company issuing them, they enjoy higher returns with less risk exposure compared to equity investments.

Companies issue NCDs to raise funds for the long term from the capital market to address a range of needs, be it debt refinancing, working capital, expansion and more. Apart from raising long-term funding, companies issue NCDs to diversify their borrowing profile and gain the public’s trust as NCDs can be categorised as public debt.

Compared to convertible debentures, NCDs offer investors higher gains, more liquidity and tax benefits.

Fibe’s NCD Issue Gets Fully Subscribed on Day 1

This NCD issuance marks the first listing of EarlySalary Services Pvt. Ltd. (A Fibe Group Company) on the Bombay Stock Exchange (BSE). The issue was listed on the BSE from September 22, 2023 and their features include the following:

• The face value of these NCDs is ₹1 lakh
• The maturity date of these debentures is March 18, 2025

Along with the company’s debut on BSE, Fibe’s NCD issue also has another highlight — it was fully subscribed on Day 1. What makes this news great is that it shows the trust and confidence investors have in Fibe and our vision.

In addition, Fibe also has the green shoe option to raise another ₹19 crores, which is also fully subscribed. This show of confidence further motivates us to fulfil our commitment to offer inclusive, secure and accessible financial solutions to all.

Sharing his thoughts, the Co-Founder and Chief Financial Officer of Fibe, Mr. Ashish Goyal said, “It gives me immense happiness to share that EarlySalary Services Pvt. Ltd.’s first-ever NCD issue got fully subscribed on the first day and will now be available on BSE. This is a testament to the faith and confidence investors have in the Company and the transformative innovation it has undertaken in the digital lending space in India. We are committed to offering secure and inclusive financial solutions to the ambitious youth of India.” Since its launch, Fibe has grown multifold, making several strides towards becoming an industry leader. Some of our notable achievements include our ISO/IEC 2001 certification, the G20 Digital Innovation Alliance – Best Startup in Fintech award and the launch of India’s first numberless credit card in partnership with Axis Bank. We are excited to leap ahead and reach our next milestone to transform the financial landscape and serve our customers better.