Muthoot Finance share price hit a fresh all-time high today as the company plans to raise money via offshore dollar bonds again. Share price of Muthoot Finance rose up to 2.4% to Rs 749.35 compared to the previous close of Rs 743.90 on BSE. Muthoot Finance stock has gained 4.05% in last three sessions.
The large cap stock has gained 52.85% during last year and gained 44.07% since the beginning of this year. In last one month, the stock has gained 8.63% on BSE. Muthoot Finance has approval from the Reserve Bank of India to raise up to $2bn from dollar bonds, the company said.
The company has been able to raise funds via domestic NCDs and foreign borrowings and completed over 21 public issues of NCDs. It successfully raised $450 million from international bond market in October 2019. The non-banking finance lender, whose main business is lending against gold, got a strong investor response to its offshore debut in October when it raised US$450m from three-year bonds at par to yield 6.125%. The notes are trading at 102.9/103.4 to yield 4.997%, according to Refinitiv data.
Higher interest collections led by high gold prices, resulted in strong NII growth at 32% YoY, PPP growth at 43% Y-o-Y and PAT growth at 77% YoY. Muthoot is a non-deposit taking NBFC and its main source of fund is borrowings from banks and NCDs issued to retail investors.
Standalone net profit of Muthoot Finance rose 42 percent year-on-year to Rs 1,388 crore in H1FY20 against Rs 975 crore in H1FY19 for the corresponding period last fiscal.
Profit after tax rose 77 percent Y-o-Y to Rs 858 crore in Q2FY20 as against Rs 484 crore in Q2FY1.