Bond Issuer
Shriram Transport Finance Company Ltd
Shriram Transport Finance Company Limited (STFC) was incorporated in the year 1979 and is a renowned name in commercial vehicle finance. It is known to be a leading asset financing…
Issuer Overview
Shriram Transport Finance Company Limited (STFC) was incorporated in the year 1979 and is a renowned name in commercial vehicle finance. It is known to be a leading asset financing non-banking finance company.
About Company
The company is a leader in commercial vehicle financing and serves customers across the nation. It has a network of branches and a big team of dedicated members engaged in catering to the need for finances for new and pre-owned commercial vehicles.
Business Overview
Shriram Transport Finance Company (STFC) recently raised successfully Rs. 900 crores by issuing bonds on a private placement basis. The redeemable and non-convertible debentures (NCDs) were of Rs. 10 lakhs each face value. A total of 9,000 NCDs were allotted aggregating to the issue size of Rs. 900 crores. The Shriram Transport Finance Company bonds, bearing a coupon at 8.56% per annum, are set to mature on February 25, 2032. The trust of customers and investors in the company is the reason for its bonds or IPO success and good performance in the competitive market.
Key Highlights
- Leading commercial vehicle financier in India
- Deep presence in used CV financing
- Established debt capital market issuer
Credit Rating
AA category historically for select issues (verify latest)
Industries Served
- Used CV Finance
- Commercial Vehicle Loans
- Equipment Finance
Strengths
- It has bagged prestigious awards like CNBC TV18 Best Bank and Financial Institution Awards 2012 and the ICAI Awards for Financial Reporting
- The company’s multiple services have made it a reputed brand in the country
Risk Factors
- CV industry cyclicality
- Used-asset collateral valuation risk
- Rural and SME borrower credit cycles
Why Invest
- Shriram Transport Finance aims to cater to small road transport operators (SRTOs) and first-time buyers (FTB) in India. The company's focus on providing financing solutions in the road logistics industry has earned it a respected brand status.
- Shriram Transport Finance has a pan-India presence, with a network of over 485 branches and service centers. The company's dedicated business team is committed to providing round-the-clock customer service.
- As a part of the Shriram Group of Companies, Shriram Transport Finance benefits from the group's strong presence in India. The group focuses on financial services and serves customers through its extensive network of over 1,213 branches.
- Shriram Transport Finance IPOs have attracted significant interest from investors in India. The company's reputation, coupled with its comprehensive financing solutions for new and pre-owned commercial vehicles, has made it a popular choice among investors awaiting the Shriram Transport Finance IPO date.
- Investing in Shriram Transport Finance bonds/IPOs is hassle-free
Financial Snapshot
- Segment
- CV Finance
- Focus
- Used Commercial Vehicles
FAQs
Shriram Transport Finance Company Limited (STFC) was incorporated in 1979.
Shriram Transport IPOs are generally awarded good credit ratings making them safe for investment. Also, the company has good creditworthiness in the market.
Yes, the company is registered with the Reserve Bank of India as a Deposit-taking NBFC under section 45IA of the Reserve Bank of India Act, 1934.
Shriram Transport Finance Bonds are awarded the rating of “IND AA+/Stable” by India Ratings & Research and “[ICRA] AA+ (Stable)” by ICRA which makes it safe for investing. Consider the current creditworthiness before going for investment in the company bonds.
Shriram Transport Finance has a network of over 485 branches.
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Disclaimer
The facts and information on this page are for information and awareness purposes only. No information provided here is intended for any specific user and should not be construed as investment advice or a recommendation of any kind. Consult your professional investment or tax advisor before investing in any securities, including bonds mentioned on this page. Digifinn (Launchpad Fintech Private Limited) shall not be liable for losses incurred based on decisions made using information on this page. Investments in debt securities are subject to credit, market, liquidity and default risks. Past performance is not indicative of future results. Verify the latest credit ratings, offer documents and suitability before investing.