Prachay Capital Limited has come up with its December 2025 NCD issue, offering interest rates of up to 13% per annum. With secured debentures, moderate credit ratings, and a clear focus on structured finance solutions for real estate developers, this NCD issue is drawing investor attention. But should you really invest in Prachay Capital NCDs? In this review, we analyse the company, NCD structure, interest rates, credit ratings, financial performance, risks, benefits, and whether this NCD fits into an investor’s portfolio.
About Prachay Capital Limited
Incorporated in 2017, Prachay Capital Limited operates as a non-deposit-taking NBFC registered with the Reserve Bank of India. The company offers structured financial solutions primarily to mid-size and large real estate developers. Currently, its operations are centred in Pune, Maharashtra, with expansion plans into Hyderabad and Bhubaneswar.
The company is part of the Prachay Group, which also includes Prachay Advisors, a boutique investment banking firm. Its promoter, Girish Murlidhar Lakhotiya, brings industry expertise and group-level backing to the organisation.
Prachay Capital December 2025 NCD Issue Details
- Issue Opening Date: December 11, 2025
- Issue Closing Date: December 24, 2025
- Base Issue Size: ₹ 75 Crores
- Overall Issue Size: ₹ 150 Crores
- Face Value: ₹ 1,000 per NCD
- Issue Price: ₹ 1,000 per NCD
- Minimum Investment: 10 NCDs
- Series Offered: 36, 48, and 60 months
- Listing: BSE
- Allotment Basis: First Come First Serve
- Debenture Trustee: Catalyst Trusteeship Ltd.
Prachay Capital December 2025 NCD Interest Rates
The NCD is offered in three series, all carrying monthly interest payouts.
| Series | Tenor | Interest Frequency | Coupon Rate | Effective Yield | Amount on Maturity |
|---|---|---|---|---|---|
| Series 1 | 36 Months | Monthly | 12.50% | 13.24% | ₹ 1,000 |
| Series 2 | 48 Months | Monthly | 12.75% | 13.52% | ₹ 1,000 |
| Series 3 | 60 Months | Monthly | 13.00% | 13.80% | ₹ 1,000 |
These rates are attractive compared to bank FDs and several corporate bonds but should be judged along with associated risks.
Credit Ratings
The NCDs are rated by Crisil Ratings Limited:
- Rating: BBB-
- Safety Degree: Moderate degree of safety
- Risk Level: Moderate credit risk
A BBB- rating is considered investment grade but sits at the lowest level in the investment-grade category. While credit rating agencies indicates moderate credit risk, its actually high risk.
Objects of the Issue
The company plans to utilise the net proceeds of the NCD issue for the following purposes:
- Onward lending
- Investments in existing and future AIF schemes managed by subsidiary Prachay Investment Managers Private Limited
- Repayment or prepayment of outstanding borrowings
- General corporate purposes
Company Financials
Prachay Capital has shown consistent growth in revenue and profitability.
| Financial Year | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|
| Assets | 371.60 Cr | 313.20 Cr | 233.93 Cr |
| Total Income | 58.63 Cr | 42.54 Cr | 36.74 Cr |
| Profit After Tax | 12.53 Cr | 11.02 Cr | 10.32 Cr |
The company reported a 38% increase in revenue and a 14% rise in PAT from FY 2024 to FY 2025, indicating healthy financial momentum.
Why to Invest in Prachay Capital December 2025 NCD?
- High interest rates up to 13% p.a. with attractive effective yields.
- Secured NCDs, which means investors have charge on assets in case of default.
- Monthly interest payout, suitable for investors seeking regular income.
- Steady financial growth, as seen in rising assets, revenue and profits.
- Reasonable allotment structure, allowing retail investors a 30% share.
Why Not to Invest?
- Credit rating of BBB- indicates high risk and is just above non-investment grade.
- The company operates in the real estate financing segment, which is cyclical and sensitive to economic conditions.
- Relatively young NBFC, established only in 2017, with limited long-term performance visibility.
- Concentration of business in a few regions, although expansion is underway.
How to Apply for Prachay Capital December 2025 NCD?
Investors can apply using online platforms such as:
- BSE Direct
- NSE goBID
- Brokers like Zerodha, Indiabonds, and GoldenPi
For UPI applications, approval of the UPI mandate is mandatory to complete the process.
Conclusion – Should You Invest?
Prachay Capital December 2025 NCD offers high returns with monthly payouts, making it suitable for income-seeking investors. However, the BBB- credit rating and concentration in real estate financing make this investment high risky.
Ideal for: High-risk investors seeking better-than-FD returns.
Not ideal for: Moderate / Conservative investors who prioritise safety over returns.
Invest after evaluating your risk appetite.
FAQs
How can I apply for the Prachay Capital December 2025 NCD?
You can apply through BSE Direct, NSE goBID, Zerodha, Indiabonds, or GoldenPi using your demat and UPI details.
What is the minimum investment required?
The minimum investment is 10 NCDs, i.e., ₹ 10,000.
What is the coupon rate offered?
The coupon rate ranges between 12.50% and 13.00% depending on the series.
Can I exit before maturity?
NCDs are listed on the BSE, offering an exit route. However, liquidity may vary.
How to check allotment status?
Investors can check allotment on KFintech’s portal.
Is the NCD safe to invest?
The NCD carries a BBB- rating, indicating moderate safety. Investors should assess their risk appetite.
Is interest taxable?
Yes, interest on NCDs is fully taxable as per the investor’s income tax slab.
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