Structured Debt Advisory

At Finhive Capital, we work with corporates and several financial institutions for products like NCDs, Subordinated Debt, PTC, DA, Co Lending, Commercial Paper and other related transactions. Some of them are mentioned below;

◉ NCDs - We help corporates in diversifying borrowing profile by helping them raise funds through NCD route. Our company also subscribe to all types of NCDs from own capital.

◉ STRUCTURED FINANCE - There are generally 2 types of securitization structure:
- PTC (Pass-Through Certificates) structure
- DA (Direct Assignments) structure

The major difference between PTC and DA lies in the fact that PTC transactions have Credit Enhancement (A type of security cover/protection provided to investors to absorb losses on account of non-performance of underlying borrowers) while DA transactions don’t have any provision of credit enhancement by regulation.

Also, there is a concept of trancing in PTC transactions. So, in PTC, the investor can invest in either senior (A1) or junior (A2) or subsequent tranches (formed based on the risk/return appetite) depending on their risk profiles. So, investors in A1 tranche will be less exposed to the risk (as they will have more credit enhancement) and will have less pricing(return)

We have assisted several NBFCs in concluding PTC and DA transaction within overall required IRR.

◉ COMMERCIAL PAPER - We help corporates (A+ and above rated) in raising Commercial Paper at very discounted rates. Also, we provideinvestment opportunity in commercial papers. These are unsecured instruments, usually issued as promissory notes, providing short-term loans to the company for their working capital needs.

We also assist in promoter funding through holding company structure, Mezzanine Funding and Acquisition Funding.