L&T Finance Limited (a wholly owned subsidiary of L&T Finance Holdings Limited) is coming out with Tranche 2 of public issue of secured redeemable non-convertible debentures (“Secured NCDs”) of the face value of Rs. 1,000 each. This Tranche aggregates to Rs. 500 crore, with an option to retain over-subscription up to Rs. 500 crore, aggregating up to a total of Rs. 1000 crore. The Tranche 2 issue offers various options for subscription and the yield on Redemption of up to 9.05% (per annum). The Tranche 2 issue opens on April 08, 2019 and closes on April 18, 2019, with an option of early closure or extension. In this Tranche, across tenors, the interest rates offered to retail investors are higher than that being offered to institutional investors.

The Secured NCDs proposed to be issued under this Issue have been rated ‘[ICRA] AAA (stable) (pronounced as ICRA triple-A with Stable outlook)’, CARE AAA / Stable (pronounced as CARE triple-A with Stable outlook) and IND AAA / Stable (pronounced as IND triple-A with Stable outlook). The rating of NCDs by ICRA, CARE and India Ratings indicate that instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry the lowest credit risk.

The Secured NCDs, bearing a fixed rate of interest, are being offered under seven different options.

Net proceeds of the Tranche 2 issue will be utilized for the purpose of onward lending, financing, refinancing the existing indebtedness of the Company (payment of the interest

and/or repayment /prepayment of principal of borrowings) (up to 75%) and up to 25% for general corporate purpose.

The Secured NCDs offered through the Tranche 2 Prospectus are proposed to be listed on the BSE & NSE. NSE shall be the designated stock exchange for the Tranche 2 Issue.

The Lead Managers to the Issue are Edelweiss Financial Services Ltd., A K Capital Services Ltd., Axis Bank Ltd. and Trust Investment Advisors Pvt. Ltd.

Catalyst Trusteeship Ltd. is the Debenture Trustee and Link Intime India Pvt. Ltd. is the registrar to the issue.