What was filed
Bajaj Finance told the exchanges that its Debenture Allotment Committee, meeting on 27 August 2026, allotted secured redeemable non-convertible debentures on a private placement basis. Each debenture carries a face value of ₹1 lakh, and the tranche is proposed to be listed on the Wholesale Debt Market segment of BSE. The instrument runs a full ten years — from allotment on 27 August 2026 to maturity on 27 August 2036 — with the coupon paid annually and principal redeemable on maturity.
How the debt is secured
Per the filing, the debentures carry a first pari-passu charge over the company's book debts and loan receivables. Original investors in the tranche hold an asset cover of 1.10 times at all times, while investors who acquire the NCDs subsequently carry a cover of 1 time. The terms also embed a step-up/step-down coupon mechanism: if the instrument's rating is downgraded to AA- or below, original investors may raise the interest rate by up to 25 basis points per notch, and if the rating falls to A or below, they may recall the outstanding principal on 30 days' notice.
Why it matters to a holder
As a non-bank lender, Bajaj Finance funds its loan book substantially through market borrowings, and NCD issuance is a routine part of that funding programme. This filing documents one such tranche — its size, tenure and cost — along with the rating-linked protections offered to debenture holders. It is a debt-side event rather than an equity action, and the disclosed coupon reflects the company's borrowing cost on this particular ten-year issue.