Mahindra & Mahindra Financial Services announced on 25 September that its board of directors has approved a plan to raise up to ₹2,000 crore through the issuance of non‑convertible debentures (NCDs). The decision followed a meeting of the debenture issuance committee on 24 September, which approved the offer on a private placement basis within the borrowing limits sanctioned by shareholders and the board. The NBFC will issue up to two lakh NCDs, each with a face value of ₹1 lakh.

The debenture issuance committee also approved that the NCDs will be listed in the wholesale debt segment of BSE Ltd. The ₹2,000 crore issue will consist of a base tranche of ₹1,000 crore and a green‑shoe option for an additional ₹1,000 crore. All NCDs will be allotted on 29 September 2026 and will have a tenure of 2 years 364 days, equivalent to 1,095 days, from the date of allotment. The fixed coupon rate is 7.95% per annum, with maturity on 28 September 2029.

The pay‑in amount for the NCDs will be based on the bid prices submitted on the electronic bidding platform. In the April‑June quarter of FY27, the NBFC reported a 70% year‑on‑year increase in standalone net profit, rising to ₹898.65 crore from ₹529.50 crore in the same period a year earlier. Interest income advanced 11% YoY to ₹4,620.87 crore from ₹4,164.59 crore in Q1 FY26, while fees and commissions earned contributed to the profit lift.

Shares of Mahindra & Mahindra Financial Services closed 2.50% lower at ₹339.90 on the National Stock Exchange on 24 September, after the announcement was made post‑market. The scrip has fallen 2% in the past week and 10% over the month, and has dropped 16% year‑to‑date. It reached a 52‑week high of ₹415 on 10 August 2026, but touched a year‑low of ₹269.50 on 3 October 2025. As of 22 September 2026, the company’s market capitalisation stood at ₹47,245.12 crore according to NSE data.

The company will list the NCDs in the BSE wholesale debt segment and will allot them on 29 September 2026. The issue will include a base tranche of ₹1,000 crore and a green‑shoe option of ₹1,000 crore. The NCDs will have a tenure of 1,095 days and a fixed coupon of 7.95% per annum, maturing on 28 September 2029. The pay‑in amount will be determined by bid prices on the electronic bidding platform.