Archive · 5 Dec 2025
CEAT Approves ₹250 Crore NCD Issue, Indonesian Investment
CEAT Ltd, a tyre maker, has decided to raise ₹250 crore by issuing special loans called NCDs.
These loans will be sold privately and will have a fixed interest rate.
The company also plans to invest IDR 3,800 million in its Indonesian subsidiary, PT CEAT Tyres Indonesia.
This investment will increase CEAT's ownership in the subsidiary to almost 100%.
The subsidiary sells tyres and related products in Indonesia.
The NCDs will be listed on the National Stock Exchange, and the investment in Indonesia is expected to be completed by the end of January 2026.
CEAT's stock price went up slightly on the day these decisions were announced.
CEAT Ltd approved the issuance of ₹250 crore in unsecured NCDs on a private placement basis.
The NCDs will have a fixed interest rate, paid annually, with a tenure of up to 5 years.
CEAT plans to invest IDR 3,800 million in its Indonesian subsidiary, PT CEAT Tyres Indonesia.
The investment will increase CEAT's shareholding in the subsidiary to about 99.93%.
The subsidiary reported a turnover of IDR 2,953.64 million for the period ended September 30, 2025.
- Who
- CEAT Ltd
- What
- Approved issuance of NCDs and investment in Indonesian subsidiary
- When
- December 5, 2025 (NCD approval), January 31, 2026 (expected investment completion)
- Where
- India (NCDs), Indonesia (subsidiary investment)
- Why
- To raise funds and expand international operations
- NCD Amount
- ₹250 crore
- NCD Type
- Unsecured, non-convertible debentures
- NCD Tenure
- Up to 5 years
- Indonesian Investment
- IDR 3,800 million
- Subsidiary Name
- PT CEAT Tyres Indonesia
- Subsidiary Turnover (Q3 2025)
- IDR 2,953.64 million
- Expected Completion Date
- January 31, 2026
- CEAT Share Price (Dec 5, 2025)
- ₹3,913