Muthoot Finance raised $600 million in international bond markets by issuing an External Commercial Borrowing (ECB). This is the fifth and final drawdown under the Global Medium-Term Note (GMTN) programme since May 2024, and the company has now met its $2 billion target.

Key Highlights

• Muthoot Finance secures $600 million ECB, reinforcing its global bond plan under the $2 billion GMTN programme. 
• The company achieves its GMTN target of $2 billion, boosting capital for growth and international funding flexibility.

The bonds, rated BB+ by S&P and Ba1 by Moody's, were priced at 6.37 percent, have a 4.5-year maturity, and an average life of four years.

This also marks the company's first bond issuance since receiving credit rating upgrades from S&P in March 2025 and Moody's in April 2025. The proceeds will be used to expand Muthoot's lending operations throughout India.

Also Read: RBI Grants Muthoot Finance Permission for 115 New Branches

Managing director George Alexander Muthoot stated, "The successful ECB marks another milestone for the company and highlights our strong growth strategy and sound governance."

Investor confidence in Muthoot's business fundamentals and growth plans was reinforced by the issuance's high level of global interest. A geographically diverse mix of investors participated, with 15% coming from EMEA, 36% from Asia, and 49% from the US. Banks, private banks, insurers, and fund and asset managers accounted for 91% of the subscriptions by investor type.