HDFC to raise Rs 5,000 crore via bonds
May 6, 2020, 21:58 IST
New Delhi, May 6 () Mortgage lender HDFC Ltd plans to raise up to Rs 5,000 crore by issuing bonds on private placement basis to meet its business requirements.
HDFC will issue secured redeemable non-convertible debentures on private placement basis with an issue size of Rs 2,500 crore and an option to retain over-subscription of up to Rs 2,500 crore, according to a regulatory filing.
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The coupon on the bonds, to be maturing in December 2021, has been fixed at 7.06 per cent per annum.
"The object of the issue is to augment the long-term resources of the Corporation. The proceeds of the present issue would be utilised for financing /refinancing the housing finance business requirements of the Corporation," HDFC said.
Its shares closed 2.49 per cent higher at Rs 1,732.95 apiece on the BSE on Wednesday. KPM MKJ(This story has not been edited by www.businessinsider.in and is auto–generated from a syndicated feed we subscribe to.)