Question

Credit Access Grameen Ltd., a listed NBFC - MFI (Micro Finance Institution), is all set to enter the bond market next week to raise up to ₹ 1,000 crore in non-convertible debentures, as it looks to diversify its liability profile. 
According to the provisions of the Companies Act, 2013, what is the maximum amount of these non-convertible debentures which Credit Access Grameen Ltd. will redeem out of its capital?

Options

• ₹ 100 crore

• ₹ 150 crore

• ₹ 900 crore

• ₹ 1,000 crore

Answer 1

₹ 1,000 crore

Explanation:

A listed NBFC-MFI (Micro Finance Institutions) can redeem 100% of its non-convertible debentures out of its capital.