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HDFC to raise Rs 500 crore by issuing bonds to finance housing biz
To cater to housing finance needs, India`s largest mortgage lender HDFC today said it will raise Rs 500 crore by issuing bonds on a private placement basis.
New Delhi: To cater to housing finance needs, India's largest mortgage lender HDFC on Monday said it will raise Rs 500 crore by issuing bonds on a private placement basis.
Issue size of Rs 500 crore secured redeemable non-convertible debentures, to be held on private placement basis, will carry a coupon rate of 8.35 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 in a regulatory filing.
The bonds with a tenor of five years, have April 26, 2021 as the redemption date.
HDFC said the issue can be subscribed by only the persons who are specifically addressed through a communication by the company.
Scrips of the company traded 1.77 per cent down at Rs 1,111.40 apiece on BSE.