KrazyBee Bonds Explained: Price, ISIN, Yield (YTM), Rating and Key Risks

Introduction

Corporate bonds issued by non-banking financial companies (NBFCs) form an important segment of India’s fixed-income market. Among these, bonds issued by digital-first lending institutions have attracted attention due to their structured cash flows and defined contractual terms.

This article provides an educational explanation of KrazyBee bonds, covering their structure, pricing components, credit rating, yield mechanics and associated risks. It does not evaluate suitability or provide any investment recommendation.

Overview of KrazyBee Bonds

KrazyBee bonds refer to listed, secured non-convertible debentures (NCDs) issued by KrazyBee Services Private Limited through private placement. These instruments are governed by specific contractual terms covering coupon payments, maturity, security and seniority.

Search terms such as krazybee bond review or krazybee services private limited bond often reflect an effort to understand how these bonds are structured rather than a uniform assessment of performance.

KrazyBee Bond Instrument Details

The key structural features of the KrazyBee bond covered in this article are outlined below:

• Issuer: KrazyBee Services Private Limited

• ISIN: INE07HK07858

• Bond Type: Non-Convertible Debenture (NCD)

• Nature: Listed, Secured

• Seniority: Senior

• Mode of Issue: Private Placement

• Date of Issue: 31 October 2025

• Maturity Date: 29 March 2027

• Face Value: ₹1,00,000 per unit

• Coupon Rate: 11.50 percent (fixed)

• Coupon Frequency: Monthly

• Yield Type: Yield to Maturity (YTM)

• Debenture Trustee: SBICAP Trustee Company Limited

Understanding Bond Price and Face Value

The face value of the KrazyBee bond is ₹1,00,000 per unit. This represents the principal amount on which interest is calculated and which is scheduled for repayment at maturity, subject to the bond terms.

In secondary markets, bonds may trade at prices above or below face value. This trading price is influenced by factors such as prevailing interest rates, remaining tenure, credit perception of the issuer and overall market liquidity.

Coupon Rate and Monthly Interest Structure

The KrazyBee bond carries a fixed coupon rate of 11.50 percent, with interest payments made on a monthly basis.

A fixed coupon means that the interest rate does not change over the life of the bond. Monthly payout structures are determined contractually and are independent of the issuer’s short-term profitability, subject to its ability to meet obligations.

Yield to Maturity (YTM) Explained Drag

Yield to Maturity (YTM) represents the annualised internal rate of return of a bond if held until maturity, assuming all coupon payments are received as scheduled and reinvested at the same rate.

For KrazyBee bonds, YTM depends on:

• Purchase price in the market

• Coupon rate and frequency

• Time remaining to maturity

• Face value repayment

YTM is a calculation tool and not a guaranteed outcome.

Credit Rating and What It Indicates

The KrazyBee bond is rated CARE A; Stable by CARE Ratings Limited, as per the latest available rating rationale.

A credit rating reflects the rating agency’s opinion on the issuer’s relative ability to meet its debt obligations on time. It does not eliminate credit risk, nor does it predict market price movements.

According to the rating rationale, the assessment considers factors such as business scale, capitalisation levels, asset quality trends and funding profile

Issuer Background: KrazyBee Services Private Limited

KrazyBee Services Private Limited is an RBI-registered NBFC incorporated in 2016. The company operates primarily in the digital lending space, offering unsecured personal loans through technology-enabled platforms.

Over time, KrazyBee has expanded its operations via both on-balance-sheet lending and co-lending arrangements, supported by technology infrastructure and partnerships.

Industry Context and Business Model

KrazyBee operates within India’s NBFC and digital lending ecosystem, which has experienced rapid growth alongside evolving regulatory oversight.

The company’s business model relies on:

• Technology-driven loan origination

• Data-led credit assessment

• Scalable digital distribution

• Portfolio diversification initiatives

Industry conditions and regulatory developments can influence operating outcomes.

Key Risks Associated with KrazyBee Bonds

Like all corporate bonds, KrazyBee bonds carry specific risks, including:

• Credit Risk: Risk of delayed or missed payments

• Business Risk: Exposure to unsecured lending segments

• Regulatory Risk: Changes in digital lending regulations

• Liquidity Risk: Limited secondary market trading depth

• Interest Rate Risk: Price sensitivity to rate movements

These risks exist irrespective of coupon structure or listing status.

Liquidity and Secondary Market Considerations

Although the bond is listed, secondary market liquidity may vary depending on investor demand, trade sizes and market conditions.

Listing does not ensure the ability to exit at a preferred price or time.

Common Misconceptions Around KrazyBee Bonds

Some frequently observed misconceptions include:

• Credit ratings eliminate default risk

• Monthly coupons ensure certainty of cash flows

• Listed bonds are always liquid

• Brand recognition equates to lower risk

Understanding these limitations is essential when interpreting bond information.

Conclusion

KrazyBee bonds are structured fixed-income instruments with defined contractual features including coupon rate, maturity, seniority and security. Evaluating such bonds involves understanding issuer fundamentals, credit ratings, cash flow structure and associated risks.

This article has explained the key components of KrazyBee bonds in an educational manner without ranking, endorsing or recommending the instrument.

Disclaimer

This blog is intended solely for educational and informational purposes. The bonds and securities mentioned herein are illustrative examples and should not be construed as investment advice or personal recommendations. BondScanner, as a SEBI-registered Online Bond Platform Provider (OBPP), does not provide personalized investment advice through this content.

Readers are advised to independently evaluate investment options and seek professional guidance before making financial decisions. Investments in bonds and other securities are subject to market risks, including the possible loss of principal. Please read all offer documents and risk disclosures carefully before investing.