SBI Card and Payment Services, a leading pure-play credit card issuer, has unveiled its plan to raise Rs 3,000 crore through the issuance of non-convertible debentures (NCDs). The funds will be raised in one or more tranches on a private placement basis, demonstrating the company’s strategic approach to fueling its growth and expansion.
The decision to raise capital through NCDs signifies SBI Card’s focus on strengthening its financial position and enhancing its market presence. The funds will provide the company with additional resources to support its operations, invest in technology advancements, and explore new business opportunities.
In addition to this significant development, SBI Card reported a commendable performance in the fourth quarter, with a 2.7 percent year-on-year increase in net profit. The company’s net profit stood at Rs 596.5 crore, showcasing its resilience and ability to navigate the challenging economic landscape.
The positive financial results demonstrate SBI Card’s commitment to delivering value to its stakeholders, including shareholders and customers. With its solid performance and the upcoming capital infusion through NCDs, SBI Card is well-positioned to continue its growth trajectory and maintain its position as a leading player in the credit card industry.
The announcement of the NCD issuance and the impressive financial results are expected to bolster investor confidence and attract attention from the market. SBI Card’s proactive measures to raise capital and its sustained profitability further underline its commitment to driving innovation, customer-centric solutions, and sustainable growth in the dynamic financial services landscape.