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HDFC aims to meet long-term capital needs with bonds on private placement basis


Devdiscourse News Desk new delhi Last Updated at 26-11-2018 20:16:35 IST India
HDFC aims to meet long-term capital needs with bonds on private placement basis
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Mortgage lender HDFC Ltd will raise up to Rs 8,500 crore by issuing bonds on a private placement basis to shore up long-term capital needs.

The secured redeemable non-convertible debentures (NCDs) with an issue size of Rs 500 crore and option to retain oversubscription up to Rs 8,500 crore are to be allotted Thursday on a private placement basis, HDFC said in a regulatory filing.

"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.

HDFC said only those persons who are specifically addressed through a communication are eligible to apply for the debentures.

"No other persons can apply," it added.

The securities, with a tenor of 10 years, bear a coupon rate of 9 per cent per annum.

The stock of HDFC closed 0.30 per cent up at Rs 1,880.20 apiece on the BSE.

(With inputs from agencies.)


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