ICL Fincorp Limited NCD April 2026 – Issue Details, Interest Rates, Ratings and Review
Non-Convertible Debentures (NCDs) continue to attract investors looking for fixed income opportunities with predictable returns. ICL Fincorp Limited has come up with secured NCD issue in April 2026 offering interest rates up to 11.50% per annum. Should investors subscribe to this NCD? In this detailed review, we will cover company background, issue details, interest rates, credit rating, financials, risks, and whether investors should invest or avoid.
About ICL Fincorp Limited
ICL Fincorp Limited is a non-deposit taking middle layer NBFC primarily engaged in gold loan financing. The company provides loans against household gold jewellery and also offers property loans, personal loans and business loans. The company focuses on middle-income customers and provides customized gold loan products with varying tenure and interest structures.
The company operates across multiple states including Kerala, Tamil Nadu, Andhra Pradesh, Karnataka, Telangana, Odisha, Gujarat and Maharashtra. As of February 2026, the company had 306 branches across India. The company primarily depends on gold loans which is a secured lending model, however concentration risk exists in this segment.
The company was originally incorporated in 1991 as Jawahar Finance Limited and later renamed to ICL Fincorp Limited. It is registered with RBI as a non-deposit taking NBFC.
ICL Fincorp Limited NCD April 2026 – Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | April 10, 2026 |
| Issue Closes | April 24, 2026 |
| Issue Size | ₹50 Crores (Base) |
| Oversubscription | ₹50 Crores |
| Total Issue Size | ₹100 Crores |
| Face Value | ₹1,000 per NCD |
| Issue Price | ₹1,000 |
| Minimum Investment | ₹10,000 (10 NCDs) |
| Listing | BSE |
| Allotment | First Come First Serve |
| Security | Secured NCDs |
| Rating | BBB- Stable |
| Lead Manager | Vivro Financial Services Pvt Ltd |
| Registrar | Cameo Corporate Services Ltd |
ICL Fincorp Limited is issuing secured redeemable non‑convertible debentures aggregating up to ₹100 crore. These NCDs will be listed on BSE and allotment would be on first come first serve basis. fileciteturn0file0
Interest Rates and Tenure
| Series | Tenure | Frequency | Coupon | Effective Yield |
|---|---|---|---|---|
| I | 36 Months | Cumulative | NA | 11.50% |
| II | 24 Months | Monthly | 10.50% | 11.02% |
| III | 36 Months | Monthly | 11.00% | 11.57% |
| IV | 60 Months | Monthly | 11.50% | 12.13% |
| V | 13 Months | Cumulative | NA | 10.50% |
| VI | 24 Months | Cumulative | NA | 11.00% |
| VII | 36 Months | Cumulative | NA | 11.50% |
| VIII | 24 Months | Annual | 10.75% | 10.75% |
| IX | 36 Months | Annual | 11.25% | 11.25% |
| X | 72 Months | Cumulative | NA | 12.25% |
The NCD offers interest rates ranging between 10.50% to 11.50% per annum depending on tenure and payout options. Long tenure cumulative option offers effective yield up to 12.25%.
Credit Rating
As per NCD Prospectus of ICL Fincorp Limited, it has been rated BBB- with Stable outlook by Acuité Ratings & Research Limited. This rating indicates moderate degree of safety and moderate credit risk. Investors should note that BBB category ratings are considered medium risk instruments.
Lower rated NCDs typically offer higher interest rates to compensate for the additional risk involved.
Credit Rating Trend (Last Few Years)
| Year | Rating Agency | Rating | Outlook |
|---|---|---|---|
| 2022 | Acuité Ratings & Research | BBB- | Stable |
| 2023 | Acuité Ratings & Research | BBB- | Stable |
| 2024 | Acuité Ratings & Research | BBB- | Stable |
| 2025 | Acuité Ratings & Research | BBB- | Stable |
| 2026 | Acuité Ratings & Research | BBB- | Stable |
The company has largely been rated in the BBB category by Acuité Ratings in the last few years. BBB rated instruments are considered high risk compared to AA or AAA rated NCDs. Such ratings indicate moderate safety but elevated credit risk, especially during business stress. Conservative investors generally avoid BBB rated NCDs unless they understand the risks and invest only small amounts.
Objects of the Issue
The company proposes to utilize the funds raised from the NCD issue for the following purposes:
- Onward lending and financing activities
- Repayment or prepayment of existing borrowings
- General corporate purposes
These are standard objectives for NBFC NCD issues where funds are used for lending operations.
Company Financials
| Particulars (₹ Cr) | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Assets | 527.66 | 637.95 | 852.92 |
| Total Income | 112.64 | 145.69 | 191.69 |
| Profit After Tax | 3.04 | 0.08 | 2.44 |
| Net Worth | 78.32 | 83.30 | 104.49 |
Financials indicate growth in assets and income. However profitability is volatile. Profit after tax declined sharply in FY2024 and improved slightly in FY2025. This indicates inconsistent earnings performance.
Why to Invest in ICL Fincorp NCD
- Secured NCDs backed by company assets
- Interest rates up to 11.50% per annum
- Effective yield up to 12.25%
- Multiple tenure options from 13 months to 72 months
- Monthly, annual and cumulative options available
- Listed on BSE providing liquidity
These positives are primarily driven by higher interest rates which compensate investors for higher credit risk.
Why Not to Invest in ICL Fincorp NCD
- Credit rating is BBB- which indicates high credit risk
- BBB rated NCDs are generally avoided by conservative investors
- NBFC gold loan business concentration risk
- Profitability is inconsistent
- Small sized NBFC compared to large peers
- High interest rate indicates higher risk
- Long tenure options increase credit and interest rate risk
This NCD falls in high risk category primarily due to BBB rating.
How to Apply for ICL Fincorp NCD
Investors can apply through the following options:
- Through net banking ASBA option
- Through stock brokers
- Through demat account online platforms
- Through physical application via intermediaries
Minimum investment required is ₹10,000. Investors should select appropriate series based on income requirement and risk appetite.
Should You Invest in ICL Fincorp Limited NCD April 2026?
ICL Fincorp Limited NCD offers attractive interest rates up to 11.50% and effective yield up to 12.25%. However the NCD is rated BBB- which falls under high risk category. Investors should note that higher interest rates are offered mainly because of the lower credit rating.
The company financials show growth in assets but profitability is inconsistent. In addition, this is a mid-sized NBFC primarily dependent on gold loan business. During adverse conditions, repayment ability can be impacted.
Conservative investors should avoid this NCD issue. Even moderate risk investors should be cautious and limit exposure if they decide to invest. Investors looking for safety should prefer AA or AAA rated NCDs even if interest rates are lower.
Overall, this is a high risk NCD. Investors may avoid this issue unless they clearly understand the risks.
FAQs
1) What is ICL Fincorp NCD April 2026 interest rate?
The NCD offers interest rates between 10.50% and 11.50% depending on tenure.
2) Is ICL Fincorp NCD secured?
Yes, these are secured non-convertible debentures.
3) What is minimum investment?
Minimum investment is ₹10,000.
4) What is credit rating of this NCD?
The NCD is rated BBB- Stable by Acuité.
5) Is this NCD safe?
This is moderate risk NCD due to BBB rating.
6) When will NCD list?
The NCDs are proposed to be listed on BSE.
7) Should I invest in ICL Fincorp NCD?
Only moderate risk investors may consider limited exposure.
