Summary :
360 One Prime Limited is set to launch Tranche II of its Non-Convertible Debentures (NCD) public issue. This offering provides an opportunity for investors to participate in a robust financial instrument, backed by strong ratings and the stability of a reputable company.
Key Details of the NCD Issue
Issue Size and Structure:
- Base Issue Size: ₹100 crore
- Green Shoe Option: ₹400 crore
- Total Issue Size: ₹500 crore
Important Dates:
- Issue Opens: Friday, May 24, 2024
- Issue Closes: Thursday, June 6, 2024
Investment Requirements :
- Minimum Application: ₹10,000 (10 NCDs)
- Bid Lot: 10 NCDs and multiples of 1 NCD thereafter
Credit Ratings :
- CRISIL: CRISIL AA/STABLE
- ICRA: [ICRA] AA/(STABLE)
Allocation Ratio :
- Institutional Investors: 25%
- Non-Institutional Investors: 25%
- High Net-Worth Individuals: 25%
- Retail Investors: 25%
Interest and Tenor :
- Interest Payment Frequency: Monthly and Annual
- Tenor Options: 18, 24, 36, 60, and 120 months
- Highest Coupon Rate: 9.85% per annum for 12 months
ROI Chart
| Specific Terms for Each Series of NCDs |
| Series |
I |
II |
III |
IV |
V |
VI |
VII |
VIII |
IX |
X |
| Frequency of Interest Payment |
Monthly |
Annually |
Monthly |
Annually |
Monthly |
Annually |
Monthly |
Annually |
Monthly |
Annually |
| Tenor |
18 Months |
18 Months |
24 Months |
24 Months |
36 Months |
36 Months |
60 Months |
60 Months |
120 Months |
120 Months |
| Coupon (% per annum) for NCD Holders in all Categories of Investors |
8.86% |
9.16% |
8.98% |
9.35% |
9.16% |
9.55% |
9.21% |
9.60% |
9.44% |
9.85% |
| Effective Yield (% per annum) for NCD Holders in all Categories of Investors |
9.22% |
9.23% |
9.36% |
9.35% |
9.55% |
9.55% |
9.60% |
9.60% |
9.86% |
9.84% |
| Redemption Amount (Rs. / NCD) on Maturity for NCD Holders in all Categories of Investors |
Rs.1,000 |
Rs.1,000 |
Rs.1000 |
Rs.1,000 |
Rs.1,000 |
Rs 1000 |
Rs 1000 |
Rs 1000 |
Rs 1000 |
Rs 1000 |
| Put/Call Option |
NA |
Company Overview
360 One Prime Limited is a prominent non-banking financial company (NBFC) under the umbrella of 360 ONE WAM Limited. The company specializes in Loans Against Securities (LAS), Loan Against Property (LAP), and unsecured lending products. With a solid asset base and consistent growth, 360 One Prime Limited is a reliable player in the lending market.
As of March 31, 2024, the company’s Assets Under Management (AUM) stood at ₹6,388.27 crore, marking significant growth from ₹3,935.63 crore as of March 31, 2022. The company reported total revenues of ₹894.10 crore in Fiscal 2024 and profits of ₹273.63 crore, showcasing its financial stability and growth potential.
Key Strengths
(I) High Asset Quality : 360 One Prime Limited maintains a high-quality loan portfolio with over 91% secured loans. The company’s robust credit assessment and risk management frameworks ensure zero Gross and Net Stage 3 loans, highlighting its operational efficiency and risk mitigation strategies.
(II) Strong Brand and Parentage : As a subsidiary of 360 ONE WAM Limited, the company leverages its parent’s market expertise to cater to high-net-worth clients, enhancing its market presence and operational efficiency.
(III) Prudent Decision-Making : An experienced management team ensures efficient loan processing and credit decision-making, supported by well-developed systems and standardized procedures.
(IV) Strong Capitalization : With a Tier I CRAR of 20.93% as of March 31, 2024, and substantial net worth, 360 One Prime Limited demonstrates strong capitalization, supported by conservative ALM policies and robust liquidity management.
(V) Experienced Leadership : A seasoned Board of Directors and a skilled management team drive the company's strategic direction and growth, ensuring adherence to best practices and consistent performance.
Conclusion
The Tranche II NCD issue by 360 One Prime Limited represents a secure investment opportunity with attractive returns. The company’s strong financials, high-quality asset base, and robust risk management frameworks make this NCD offering a compelling choice for various investor categories.
Disclaimer
360 One Prime Limited (formerly known as IIFL Wealth Prime Limited) (“Company”), subject to market conditions and other considerations, is proposing a public issue of secured, rated, listed, redeemable non-convertible debentures and has filed a Shelf Prospectus dated December 28, 2023, read with an addendum to the Shelf Prospectus dated January 17, 2024, and second addendum to the Shelf prospectus dated May 10, 2024 (“Shelf Prospectus”), and has filed a Tranche II Prospectus dated May 16, 2024 (“Tranche II Prospectus”) (collectively the “Prospectus”) with the Registrar of Companies, Maharashtra at Mumbai, BSE Limited (“BSE”), and Securities and Exchange Board of India (“SEBI”).
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