Nashik Municipal Corporation’s Clean Godavari Green Bonds gets publicly listed

The Rs 200 Crore Clean Godavari Bonds were listed today at NSE in Mumbai

Mumbai December 2, 2025: The Nashik Municipal Corporation (NMC) successfully listed its ₹200-crore Clean Godavari Bonds 2030 on the National Stock Exchange (NSE) today. 

The Issue is private placement of up to 10,000 unsecured, rated, listed, taxable, redeemable, non-convertible bonds in the nature of debentures of face value of ₹ 2,00,000 each, (Bonds"/"NCDs"/"Debentures"), comprising of 2 separately transferable and redeemable principal parts namely 1 STRPP A of face value of ₹ 1,00,000 and 1 STRPP B of face value of ₹ 1,00,000), for an amount of ₹100 crore ("Base Issue Size") with a green shoe option of up to ₹100 crore aggregating up to ₹200 crores.

At the bell-ringing ceremony held at NSE, Hon’ble Chief Minister Devendra Fadnavis, termed the listing a proud milestone for Maharashtra, highlighting the growing role of municipal bonds in sustainable urban development.

Shri. Devendra Fadnavis, Chief Minister of Maharashtra, said, "I’m very happy to learn that NMC's Clean Godavri Bonds were oversubscribed nearly four times. These bonds will help to finance the infrastructure related to the Kumbh Mela in 2027, ensure efficient utilisation of resources and timely repayment.” He further said that he is hopeful about that the other government institutions from Maharashtra will soon list on the NSE." 

Shri Ashish Kumar Chauhan, MD & CEO of NSE, said that Nashik Municipal Corporation has executed one of the fastest municipal bond issuance processes. He added that NMC’s efficiency, preparedness, and coordinated approach set a strong benchmark for other urban local bodies, reflecting the growing maturity and transparency in India’s municipal bond ecosystem.

Smt.Manisha Khatri, Commissioner, NMC, said “These bonds will finance infrastructure development related to Kumbh Mela 2027, and also ensure sustainable development of the region. We managed to complete the entire fund-raising process within 4 months, and are also working on the second bond issue.”

NMC raised ₹200 crore through its Clean Godavari Bonds 2030, issued on a private placement basis at a coupon rate of 7.80%. The issue witnessed an exceptional response from investors, receiving oversubscription of 3.95 times against the base issue size of ₹100 crore, with total bids worth ₹395 crore on NSE’s Electronic Bidding Platform. The base issue was fully subscribed within minutes of opening.

The funds raised through the bonds will be utilized for construction of Pedestrian Bridge of Ram Jhula, Developments of Amenities near Kalaram & Kapaleshwar Temple Complex within the Ram Kal Path precinct and Sewer Network Improvement Works for administrative zones of Panchavati, Satpur and Nashik West.

A.K. Capital Services Ltd acted as the Transaction Advisor and Merchant Banker to the issue.

The bonds carry an ‘AA+’ rating from CRISIL Ratings and India Ratings and have tenure of five years. They are supported by a robust structured payment mechanism with an escrow of tax collections, fees, user charges, fines, investment income, and other revenue streams to ensure timely servicing of interest and principal obligations.

Additionally, NMC is set to receive an incentive of ₹26 crore from the Government of India for issuing the municipal bonds, further strengthening its financial position and commitment to sustainable urban development. 

NMC may be eligible for a 25% UCF grant, amounting to ₹68.75 crore. Thus, NMC may receive incentives totalling ₹94.75 crore, which can be utilized for these projects as well as future developmental initiatives.