Sachin Bansal’s Navi raises Rs 150 Cr via NCDs

Financial services platform Navi Finserv has raised Rs 150 crore by issuing non-convertible debentures (NCDs) to six individual investors, including senior members of the Dadachanji Group.

Navi’s board approved a special resolution to allocate 15,000 NCDs at an issue price of Rs 1,00,000 per debenture, totaling Rs 150 crore, according to the company’s regulatory filings with the Registrar of Companies.

Kairus Shavak Dadachanji, Pervin Kairus Dadachanji, and Rishad Kairus Dadachanji invested Rs 110 crore, while Rohit Kapadia, Sandhya Kapadia, and Yash Kapadia collectively invested Rs 40 crore in this debt round.

Kairus Shavak is the chairman of the Dadachanji Group, which operates several companies including Kaisha Packaging, Kaisha Lifesciences, and Sovereign Pharma.

In February, Navi announced plans to raise Rs 600 crore through a public issue of NCDs, offering maturities of 18 months, 27 months, and 36 months, with yields ranging from 10.47% to 11.19%.

The Sachin Bansal-led company will use the funds for lending, financing, loan repayments, and general corporate purposes.

A report from The Morning Context noted that Navi turned to crowdfunding to raise Rs 250 crore after failing to secure equity capital at a desired valuation.

Navi has been raising funds through NCDs over the past few years, securing Rs 600 crore in May 2022 and Rs 500 crore in July 2023.

In March 2022, Navi filed its draft red herring prospectus (DRHP) with SEBI to raise up to Rs 3,350 crore. However, the company postponed its IPO due to market conditions, despite receiving approval from the market regulator.

The firm also laid off nearly 200 employees following the delay in its listing plan.

For the quarter ending September 2023 (Q2 FY24), Navi reported Rs 421.5 crore in revenue from operations and a profit of Rs 10.86 crore, according to its unaudited financial statement on its website.