HUDCO Plans To Raise Up To Rs 2,000 Cr Through Issue Of Bonds

State-owned Housing and Urban Development Corporation Ltd (HUDCO) is planning to raise up to Rs 2,000 crore through the issue of bonds on a private placement basis. In a regulatory filing on Thursday, HUDCO said the Bond Allotment Committee has approved the raising of bonds as unsecured, taxable, redeemable, non-convertible, non-cumulative NCDs (non-convertible debentures) of face value of Rs 1,00,000 each aggregating up to Rs 2,000 crore on a private placement basis. The coupon rate is 7.19 per cent.

Bonds are redeemable at par at the end of the 10th year while interest payment will be on a yearly basis. The base issue size is Rs 500 crore with greenshoe option of Rs 1,500 crore, taking the total issue size to Rs 2,000 crore. HUDCO provides finance/credit facility to the housing and infrastructure sectors/ sub-sectors, with special emphasis on urban development.

(PTI)