Muthoot Fincorp Ltd IPO

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AAA, AA+, AA, AA-, A+, A, A-

Moderate risk

BBB+, BBB, BBB-, BB+, BB

High risk

BB-, B+, B, B-, C, D

The rating agency for this Bond is Crisil Ratings Limited.

About

Muthoot Fincorp Limited is a diversified non-banking financial company (NBFC) primarily engaged in gold loans and other lending and financial services. Its product portfolio includes gold loans, business loans, loans against property, supply chain financing, digital loans, microfinance, and housing loans. The company also offers non-fund-based services, including insurance distribution, payments, savings, and other financial services. Its housing finance and microfinance businesses are operated through its subsidiaries, Muthoot Housing Finance Company Limited and Muthoot Microfin Limited, respectively. The company operates through a combination of physical branches and its digital platform, Muthoot FinCorp ONE, which supports customer onboarding, loan applications, repayments, renewals, servicing, and other transactions. As of June 30, 2026, the company had 3,845 gold loan branches and 326 processing centres across 25 states and Union Territories on a standalone basis. It is part of the Muthoot Pappachan Group and has been engaged in the gold loan business for over two decades. Use of Proceeds The proceeds from the current issue of NCDs are proposed to be used for the following purposes: For onward lending, financing, and repayment/prepayment of interest and principal of existing borrowings of the company — at least 75% General corporate purposes — up to 25%;

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As of June 30, 2026, the company's gold loan AUM per branch increased from Rs 5.30 crore in March 2024 to Rs 13.05 crore in March 2026 on a consolidated basis.

The company offers 32 retail lending products across gold loans, loans against property, business loans, personal loans, digital loans, microfinance, and housing finance. It also provides savings, insurance, payments, remittance, and other financial services through its platform and distribution network.

Secured loan products accounted for 96.17% of the company’s AUM on a standalone basis as of March 31, 2026. As of the same date, more than 57.75% of its secured AUM comprised loans with ticket sizes below Rs 0.05 crore.

The company operates through its branch network, business development officers, feet-on-street teams, referral channels, and Muthoot FinCorp ONE digital platform. As of March 31, 2026, Muthoot FinCorp ONE had 83.40 lakh application downloads, 13.70 lakh monthly active users, and 25.80 lakh organic customers.

The company claims to use product-specific underwriting systems, business rule engines, automated workflows, and early warning systems across its lending operations. For gold loans, it also claims to follow an “Eight-Eye Control System” covering e-KYC, gold appraisal, dual-custody strong rooms, surveillance, audits, and insurance of pledged gold.

The company’s borrowings comprise term loans, non-convertible debentures, commercial paper, external commercial borrowings, and perpetual debt instruments. As of March 31, 2026, it had 67 listed NCD issuances and a long-term credit rating of Crisil AA/Stable.

The company’s consolidated AUM increased from Rs 36,186.59 crore in FY24 to Rs 73,444.72 crore in FY26, representing a CAGR of 42.46%. During the same period, consolidated profit for the year increased from Rs 1,047.98 crore to Rs 1,847.62 crore, representing a CAGR of 32.78%.

Muthoot Fincorp Ltd

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