HUDCO has launched a ₹14.05 billion NCD issue with a green shoe option and received approval to raise up to ₹19.05 billion in debentures. The funds will support housing and infrastructure projects, strengthening HUDCO’s capital base and offering investors stable fixed-income opportunities amid India’s growing housing sector.
Housing and Urban Development Corporation Ltd (HUDCO) has announced a major fundraising initiative through the issuance of non-convertible debentures (NCDs). The company confirmed an NCD issue worth ₹14.05 billion, equipped with a green shoe option, while also securing board approval to raise up to ₹19.05 billion in debentures.
Key Highlights
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NCD Issue: HUDCO has launched an NCD issue of ₹14.05 billion, including a green shoe option to accommodate oversubscription.
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Board Approval: The company’s board has approved raising debentures up to ₹19.05 billion, strengthening its capital base.
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Strategic Purpose: Funds will be utilized to support housing and infrastructure financing projects, aligning with HUDCO’s mandate to promote affordable housing and urban development.
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Market Context: With India’s housing sector expanding rapidly, HUDCO’s fundraising is expected to boost liquidity and enhance its ability to finance large-scale projects.
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Investor Outlook: Analysts view the move as a positive signal of growth and stability, offering investors attractive fixed-income opportunities.
This fundraising initiative underscores HUDCO’s commitment to supporting India’s housing and infrastructure growth, while ensuring financial resilience through diversified funding.
Sources: Reuters, Economic Times, Business Standard